Nevada Code § 104.8403

1. A person who is an appropriate person
to make an endorsement or originate an instruction may demand that the issuer
not register transfer of a security by communicating to the issuer a
notification that identifies the registered owner and the issue of which the
security is a part and provides an address for communications directed to the
person making the demand. The demand is effective only if it is received by the
issuer at a time and in a manner affording the issuer reasonable opportunity to
act on it.
2. If a certificated security in
registered form is presented to an issuer with a request to register transfer
or an instruction is presented to an issuer with a request to register transfer
of an uncertificated security after a demand that the issuer not register
transfer has become effective, the issuer shall promptly communicate to the
person who initiated the demand at the address provided in the demand and the
person who presented the security for registration of transfer or initiated the
instruction requesting registration of transfer a notification stating that:
(a) The certificated security has been presented
for registration of transfer or the instruction for registration of transfer of
the uncertificated security has been received;
(b) A demand that the issuer not register
transfer had previously been received; and
(c) The issuer will withhold registration of
transfer for a period of time stated in the notification in order to provide
the person who initiated the demand an opportunity to obtain legal process or
an indemnity bond.
3. The period described in paragraph (c)
of subsection 2 may not exceed 30 days after the date of communication of the
notification. A shorter period may be specified by the issuer if it is not
manifestly unreasonable.
4. An issuer is not liable to a person who
initiated a demand that the issuer not register transfer for any loss the
person suffers as a result of registration of transfer pursuant to an effective
endorsement or instruction if the person does not, within the time stated in
the issuers communication:
(a) Obtain an appropriate restraining order,
injunction or other process from a court of competent jurisdiction enjoining
the issuer from registering transfer; or
(b) File with the issuer an indemnity bond,
sufficient in the issuers judgment to protect the issuer and any transfer
agent, registrar or other agent of the issuer involved from any loss it or they
may suffer by refusing to register transfer.
5. This section does not relieve an issuer
from liability for registering transfer pursuant to an endorsement or instruction
that was not effective.

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