Chippewa Valley Times

A new bill authored by State Rep. David Armstrong in the Wisconsin Assembly seeks to revise how securities interests and entitlements are governed, aiming to prioritize entitlement holders' claims, according to the Wisconsin State Assembly.

According to the Wisconsin State Legislature's official website, the bill was described as follows: "investment securities under the Uniform Commercial Code".

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill amends the Uniform Commercial Code concerning securities held in "street name" in customer brokerage accounts. It repeals certain jurisdictional and creditor claims provisions, altering how securities interests and entitlements are governed. The bill removes existing exceptions that previously allowed securities intermediaries' creditors to have claim priority over entitlement holders even in margin accounts. Now, entitlement holders will have priority in claims, irrespective of whether a security interest has been provided to a securities intermediary. The bill also shifts the governing law from the securities intermediary's jurisdiction to the entitlement holder's jurisdiction. It takes effect on the first day of the fourth month after publication.

The bill was co-authored by Senator André Jacque (Republican-1st District), Representative Barbara Dittrich (Republican-99th District), Representative Rick Gundrum (Republican-58th District), Representative Rob Kreibich (Republican-28th District), and Representative Jeffrey Mursau (Republican-36th District). It was co-sponsored by Senator Steve L. Nass (Republican-11th District) and Senator Van H. Wanggaard (Republican-21st District).

David Armstrong has co-authored or authored another 33 bills since the beginning of the 2025 session, with none of them being enacted.

Armstrong, a Republican, was elected to the Wisconsin State Assembly in 2025 to represent the state's 67th Assembly district, replacing previous state representative Rob Summerfield.

In Wisconsin, the legislative process starts when a senator, constituent, group, or agency proposes an idea for a bill. After drafting, the bill is introduced, numbered, and referred to a committee for review and public input. If approved, it moves through three readings and votes in both the Senate and Assembly. Once both chambers pass the same version, the bill goes to the governor, who can sign it, veto it, or let it become law without a signature. Only a small share of bills introduced each session ultimately become law. You can learn more about the Wisconsin legislative process here.

Bill Number	Date Introduced	Short Description
AB133	03/13/2025	Investment securities under the Uniform Commercial Code
AB107	03/11/2025	Conversion of cooperative associations organized to establish and operate nonprofit plans or programs for health care into service insurance corporations
AB82	02/28/2025	Exempting certain conveyances between grandparents and grandchildren from the real estate transfer fee. (FE)
AB70	02/24/2025	A disclaimer of parental rights and payments allowed in connection with an adoption
AB64	02/24/2025	An income tax subtraction for certain expenses paid by a school teacher. (FE)
AB63	02/24/2025	Financing the operating costs and certain out-of-state projects of nonprofit institutions and compensation of employees of the Wisconsin Health and Educational Facilities Authority. (FE)
AB59	02/24/2025	The use of federal capitalization grant funds for lead service line replacement. (FE)
AB53	02/24/2025	Special circumstances battery to a community service officer and providing a penalty
AB41	02/17/2025	Local regulation of vegetable gardens
AB35	02/17/2025	Withdrawal of candidacy for certain offices filled at the general election and providing a penalty. (FE)
AB21	02/06/2025	Technical colleges’ lease of their facilities to others. (FE)
AB12	02/06/2025	State agency status for certain physician assistants and advanced practice nurses who provide services without compensation for local health departments or school districts. (FE)