Common use of Right to Seek Assurance Clause in Contracts

Right to Seek Assurance. The Transfer Agent may refuse to transfer, exchange or redeem face-amount certificates of the Company or take any action requested by a certificate owner until it is satisfied that the requested transaction or action is legally authorized or until it is satisfied there is no basis for any claims adverse to the transaction or action. It may rely on the provisions of the Uniform Act for the Simplification of Fiduciary Security Transfers or the Uniform Commercial Code as adopted in the applicable jurisdiction. The Company shall indemnify the Transfer Agent for any act done or omitted to be done in reliance on such laws or for refusing to transfer, exchange or surrender face-amount certificates or taking any requested action if it acts on a good faith belief that the transaction or action is illegal or unauthorized.