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Finance allah shmoop What is good delivery All right Well

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here's bad delivery You have been there if a security

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that's traded on an exchange meets the requirements toe permit

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it to be transferred from seller to buyer While then

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the transfer is said to be of good delivery When

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it happens legal transfer happens with no hiccups and well

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life is good But on the other hand if a

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share of stock is say restricted as in a one

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forty four a type situation so that it cannot be

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transferred Well then good delivery of this share cannot be

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realized Recall that a one forty four a restriction is

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a common provisions that insiders like early investors and management

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and founders of a recently i po'd company fall under

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that is for a six months and change after the

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company was first taken public they are restricted from being

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able to transact in there stock They couldn't sell it

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And nobody could take good delivery of those shares Well

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why would there be a provisioned for good delivery in

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the first place Well you can imagine that before the

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various regulatory bodies took hold in america there was all

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kinds of room for fast talking city slickers to sell

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no value Floor tiles of blue sky too ignorant farmers

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who really didn't know what they were buying or that

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various legal hoops had to be jumped through first So

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good delivery actually became a hurdle that brokerages and their

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clients had to pay attention to And well let's hope

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they get it better Then this ups guy We're still 00:01:29.509 --> [endTime] angry about our glasses Yeah

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