Section 60 — Canada Business Corporations Act: Title of purchaser

On delivery of a security the purchaser acquires the rights in the security that the transferor had or had authority to convey, except that a purchaser who has been a party to any fraud or illegality affecting the security or who as a prior holder had notice of an adverse claim does not improve their position by taking from a later bona fide purchaser. A bona fide purchaser, in addition to acquiring the rights of a purchaser, also acquires the security free from any adverse claim. A purchaser acquires rights only to the extent of the interest or right purchased.