---
kind: "section"
citation: "18 C.F.R. § 1314.4"
title: "18"
number: "1314.4"
heading: "Law governing the rights and obligations of TVA and Reserve Banks; law governing the rights of any Person against TVA and Reserve Banks; law governing other interests."
url: "https://uscodex.org/cfr/18/1314.4"
---

# §1314.4. Law governing the rights and obligations of TVA and Reserve Banks; law governing the rights of any Person against TVA and Reserve Banks; law governing other interests.

- (a) Except as provided in [paragraph (b)](#b) of this section, the following rights and obligations are governed solely by the book-entry regulations contained in this part 1314, the Securities Documentation (but not including any choice of law provisions in such documentation), and Reserve Bank Operating Circulars:
  - (1) **The rights and obligations of TVA and Reserve Banks with respect to—**
    - (i) A Book-entry TVA Power Security or Security Entitlement; and
    - (ii) The operation of the Book-entry System as it applies to TVA Power Securities; and
  - (2) **The rights of any Person, including a Participant, against TVA and Reserve Banks with respect to—**
    - (i) A Book-entry TVA Power Security or Security Entitlement; and
    - (ii) The operation of the Book-entry System as it applies to TVA Power Securities.
- (b) A security interest in a Security Entitlement that is in favor of a Reserve Bank from a Participant and that is not recorded on the books of a Reserve Bank pursuant to [§ 1314.5(c)](/cfr/18/1314.5.md?p=c) is governed by the law (not including the conflict-of-law rules) of the jurisdiction where the head office of the Reserve Bank maintaining the Participant's Security Account is located. A security interest in a Security Entitlement that is in favor of a Reserve Bank from a Person that is not a Participant, and that is not recorded on the books of a Reserve Bank pursuant to [§ 1314.5(c)](/cfr/18/1314.5.md?p=c), is governed by the law determined in the manner specified in [paragraph (d)](#d) of this section.
- (c) If the jurisdiction specified in the first sentence of [paragraph (b)](#b) of this section is a State that has not adopted Revised Article 8, then the law specified in [paragraph (b)](#b) of this section shall be the law of that State as though Revised Article 8 had been adopted by that State.
- (d) To the extent not otherwise inconsistent with this part 1314, and notwithstanding any provision in the Securities Documentation setting forth a choice of law, the provisions set forth in [31 CFR 357.11](/cfr/31/357.11.md) regarding law governing other interests apply and should be read as though modified to effectuate the application of [31 CFR 357.11](/cfr/31/357.11.md) to Book-entry TVA Power Securities.

## Notes

### Amendments

[62 FR 920, Jan. 7, 1997; 62 FR 8619, Feb. 26, 1997, as amended at 62 FR 29288, May 30, 1997]

### Authority

Authority: 16 U.S.C. 831-831dd.

### Source

Source: 62 FR 920, Jan. 7, 1997, unless otherwise noted.

### Amendments

[62 FR 920, Jan. 7, 1997; 62 FR 8619, Feb. 26, 1997, as amended at 62 FR 29288, May 30, 1997]