906                             LAWS OF MARYLAND                      [CH. 538

(a)  any person may complete it by filling in the blanks as author-
ized; and

(b)  even though the blanks are incorrectly filled in, the security
as completed is enforceable by a purchaser who took it for value and
without notice of such incorrectness.

(2) A complete security which has been improperly altered even
though fraudulently remains 'enforceable but only according to its
original terms.

8—207. Rights of Issuer With Respect to Registered Owners.

(1)  Prior to due presentment for registration of transfer of a
security in registered form the issuer or indenture trustee may treat
the registered owner as the person exclusively entitled to vote, to
receive notifications and otherwise to exercise all the rights and
powers of an owner.

(2)  Nothing in this Sub-title shall be construed to affect the liabil-
ity of the registered owner of a security for calls, assessments or the
like.

8—208. Effect of Signature of Authenticating Trustee, Registrar
or Transfer Agent.

(1)  A person placing his signature upon a security as authenti-
cating trustee, registrar, transfer agent or the like warrants to a pur-
chaser for value without notice of the particular defect that

(a)  the security is genuine; and

(b)  his own participation in the issue of the security is within
his capacity and within the scope of the authorization received by
him from the issuer; and

(c)  he has reasonable grounds to believe that the security is in
the form and within the amount the issuer is authorized to issue.

(2)   Unless otherwise agreed, a person by so placing his signature
does not assume responsibility for the validity of the security in
other respects.

Part 3
Purchase

8—301. Rights Acquired by Purchaser; "Adverse Claim"; Title Ac-
quired by Bona Fide Purchaser.

(1)   Upon delivery of a security the purchaser acquires the rights
in the security which his transferor had or had actual authority to
convey 'except that a purchaser who has himself been a party to any
fraud or illegality affecting the security or who as a prior holder
had notice of an adverse claim cannot improve his position by taking
from a later bona fide purchaser. "Adverse claim" includes a claim
that a transfer was or would be wrongful or that a particular adverse
person is the owner of or has an interest in the security.

(2)  A bona fide purchaser in addition to acquiring the rights of
a purchaser also acquires the security free of any adverse claim.

(3)  A purchaser of a limited interest acquires rights only to the
extent of the interest purchased.