reglab/housing_qa huggingface dataset:
KS Stat § 84-4a-406 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-406 Payment by originator to beneficiary; discharge of underlying obligation.

84-4a-406. Payment by originator to beneficiary; discharge of underlying obligation. (a) Subject to subsection (e) of K.S.A. 84-4a-211 and subsections (d) and (e) of K.S.A. 84-4a-405, the originator of a funds transfer pays the beneficiary of the originator's payment order: (i) At the time a payment order for the benefit of the beneficiary is accepted by the beneficiary's bank in the funds transfer; and (ii) in an amount equal to the amount of the order accepted by the beneficiary's bank, but not more than the amount of the originator's order.(b) If payment under subsection (a) is made to satisfy an obligation, the obligation is discharged to the same extent discharge would result from payment to the beneficiary of the same amount in money, unless: (i) The payment under subsection (a) was made by a means prohibited by the contract of the beneficiary with respect to the obligation; (ii) the beneficiary, within a reasonable time after receiving notice of receipt of the order by the beneficiary's bank, notified the originator of the beneficiary's refusal of the payment; (iii) funds with respect to the order were not withdrawn by the beneficiary or applied to a debt of the beneficiary; and (iv) the beneficiary would suffer a loss that could reasonably have been avoided if payment had been made by a means complying with the contract. If payment by the originator does not result in discharge under this section, the originator is subrogated to the rights of the beneficiary to receive payment from the beneficiary's bank under subsection (a) of K.S.A. 84-4a-404.(c) For the purpose of determining whether discharge of an obligation occurs under subsection (b), if the beneficiary's bank accepts a payment order in an amount equal to the amount of the originator's payment order less charges of one or more receiving banks in the funds transfer, payment to the beneficiary is deemed to be in the amount of the originator's order unless upon demand by the beneficiary the originator does not pay the beneficiary the amount of the deducted charges.(d) Rights of the originator or of the beneficiary of a funds transfer under this section may be varied only by agreement of the originator and the beneficiary.History: L. 1990, ch. 367, § 31; L. 1991, ch. 294, § 26; July 1.
KS Stat § 84-4a-501 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-501 Variation by agreement and effect of funds-transfer system rule.

84-4a-501. Variation by agreement and effect of funds-transfer system rule. (a) Except as otherwise provided in this article, rights and obligations of a party to a funds transfer may be varied by agreement of the affected party.(b) "Funds-transfer system rule" means a rule of an association of banks: (i) governing transmission of payment orders by means of a funds-transfer system of the association or rights and obligations with respect to those orders; or (ii) to the extent the rule governs rights and obligations between banks that are parties to a funds transfer in which a federal reserve bank, acting as an intermediary bank, sends a payment order to the beneficiary's bank. Except as otherwise provided in this article, a funds-transfer system rule governing rights and obligations between participating banks using the system may be effective even if the rule conflicts with this article and indirectly affects another party to the funds transfer who does not consent to the rule. A funds-transfer system rule may also govern rights and obligations of parties other than participating banks using the system to the extent stated in subsection (c) of K.S.A. 84-4a-404, subsection (d) of K.S.A. 84-4a-405, and subsection (c) of K.S.A. 84-4a-507.History: L. 1990, ch. 367, § 32; L. 1991, ch. 294, § 27; July 1.
KS Stat § 84-4a-502 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-502 Creditor process served on receiving bank; setoff by beneficiary's bank.

84-4a-502. Creditor process served on receiving bank; setoff by beneficiary's bank. (a) As used in this section, "creditor process" means levy, attachment, garnishment, notice of lien, sequestration, or similar process issued by or on behalf of a creditor or other claimant with respect to an account.(b) This subsection applies to creditor process with respect to an authorized account of the sender of a payment order if the creditor process is served on the receiving bank. For the purpose of determining rights with respect to the creditor process, if the receiving bank accepts the payment order the balance in the authorized account is deemed to be reduced by the amount of the payment order to the extent the bank did not otherwise receive payment of the order, unless the creditor process is served at a time and in a manner affording the bank a reasonable opportunity to act on it before the bank accepts the payment order.(c) If a beneficiary's bank has received a payment order for payment to the beneficiary's account in the bank, the following rules apply:(1) The bank may credit the beneficiary's account. The amount credited may be set off against an obligation owed by the beneficiary to the bank or may be applied to satisfy creditor process served on the bank with respect to the account.(2) The bank may credit the beneficiary's account and may allow withdrawal of the amount credited unless creditor process with respect to the account is served at a time and in a manner affording the bank a reasonable opportunity to act to prevent withdrawal.(3) If creditor process with respect to the beneficiary's account has been served and the bank has had a reasonable opportunity to act on it, the bank may not reject the payment order except for a reason unrelated to the service of process.(d) Creditor process with respect to a payment by the originator to the beneficiary pursuant to a funds transfer may be served only on the beneficiary's bank with respect to the debt owed by that bank to the beneficiary. Any other bank served with the creditor process is not obliged to act with respect to the process.History: L. 1990, ch. 367, § 33; L. 1991, ch. 294, § 28; July 1.
KS Stat § 84-4a-503 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-503 Injunction or restraining order with respect to funds transfer.

84-4a-503. Injunction or restraining order with respect to funds transfer. For proper cause and in compliance with applicable law, a court may restrain: (i) A person from issuing a payment order to initiate a funds transfer; (ii) an originator's bank from executing the payment order of the originator; or (iii) the beneficiary's bank from releasing funds to the beneficiary or the beneficiary from withdrawing the funds. A court may not otherwise restrain a person from issuing a payment order, paying or receiving payment of a payment order, or otherwise acting with respect to a funds transfer.History: L. 1990, ch. 367, § 34; Jan. 1, 1991.
KS Stat § 84-4a-504 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-504 Order in which items and payment orders may be charged to account; order of withdrawals from account.

84-4a-504. Order in which items and payment orders may be charged to account; order of withdrawals from account. (a) If a receiving bank has received more than one payment order of the sender or one or more payment orders and other items that are payable from the sender's account, the bank may charge the sender's account with respect to the various orders and items in any sequence.(b) In determining whether a credit to an account has been withdrawn by the holder of the account or applied to a debt of the holder of the account, credits first made to the account are first withdrawn or applied.History: L. 1990, ch. 367, § 35; L. 1991, ch. 294, § 29; July 1.
KS Stat § 84-4a-505 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-505 Preclusion of objection to debit of customer's account.

84-4a-505. Preclusion of objection to debit of customer's account. If a receiving bank has received payment from its customer with respect to a payment order issued in the name of the customer as sender and accepted by the bank, and the customer received notification reasonably identifying the order, the customer is precluded from asserting that the bank is not entitled to retain the payment unless the customer notifies the bank of the customer's objection to the payment within one year after the notification was received by the customer.History: L. 1990, ch. 367, § 36; Jan. 1, 1991.
KS Stat § 84-4a-506 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-506 Rate of interest.

84-4a-506. Rate of interest. (a) If, under this article, a receiving bank is obliged to pay interest with respect to a payment order issued to the bank, the amount payable may be determined: (i) By agreement of the sender and receiving bank; or (ii) if the payment order is transmitted through a funds-transfer system, by a funds transfer system rule.(b) If the amount of interest is not determined by an agreement or rule as stated in subsection (a), the amount is calculated by multiplying the applicable federal funds rate by the amount on which interest is payable, and then multiplying the product by the number of days for which interest is payable. The applicable federal funds rate is the average of the federal funds rates published by the federal reserve bank of New York for each of the days for which interest is payable divided by 360. The federal funds rate for any day on which a published rate is not available is the same as the published rate for the next preceding day for which there is a published rate. If a receiving bank that accepted a payment order is required to refund payment to the sender of the order because the funds transfer was not completed, but the failure to complete was not due to any fault by the bank, the interest payable is reduced by a percentage equal to the reserve requirement on deposits of the receiving bank.History: L. 1990, ch. 367, § 37; L. 1991, ch. 294, § 30; July 1.
KS Stat § 84-4a-507 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 4a - Funds Transfers|84-4a-507 Choice of law.

84-4a-507. Choice of law. (a) The following rules apply unless the affected parties otherwise agree or subsection (c) applies:(1) The rights and obligations between the sender of a payment order and the receiving bank are governed by the law of the jurisdiction in which the receiving bank is located.(2) The rights and obligations between the beneficiary's bank and the beneficiary are governed by the law of the jurisdiction in which the beneficiary's bank is located.(3) The issue of when payment is made pursuant to a funds transfer by the originator to the beneficiary is governed by the law of the jurisdiction in which the beneficiary's bank is located.(b) If the parties described in each paragraph of subsection (a) have made an agreement selecting the law of a particular jurisdiction to govern rights and obligations between each other, the law of that jurisdiction governs those rights and obligations, whether or not the payment order or the funds transfer bears a reasonable relation to that jurisdiction.(c) A funds-transfer system rule may select the law of a particular jurisdiction to govern: (i) Rights and obligations between participating banks with respect to payment orders transmitted or processed through the system; or (ii) the rights and obligations of some or all parties to a funds transfer any part of which is carried out by means of the system. A choice of law made pursuant to clause (i) is binding on participating banks. A choice of law made pursuant to clause (ii) is binding on the originator, other sender, or a receiving bank having notice that the funds-transfer system might be used in the funds transfer and of the choice of law by the system when the originator, other sender, or receiving bank issued or accepted a payment order. The beneficiary of a funds transfer is bound by the choice of law if, when the time the funds transfer is initiated, the beneficiary has notice that the funds-transfer system might be used in the funds transfer and of the choice of law by the system. The law of a jurisdiction selected pursuant to this subsection may govern whether or not that law bears a reasonable relation to the matter in issue.(d) In the event of inconsistency between an agreement under subsection (b) and a choice-of-law rule under subsection (c), the agreement under subsection (b) prevails.(e) If a funds transfer is made by use of more than one funds-transfer system and there is inconsistency between choice-of-law rules of the systems, the matter in issue is governed by the law of the selected jurisdiction that has the most significant relationship to the matter in issue.History: L. 1990, ch. 367, § 38; L. 1991, ch. 294, § 31; July 1.
KS Stat § 84-5-101 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-101 Short title.

84-5-101. Short title. This article may be cited as Uniform Commercial Code—Letters of Credit.History: L. 1996, ch. 202, § 1; July 1.
KS Stat § 84-5-103 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-103 Scope.

84-5-103. Scope. (a) This article applies to letters of credit and to certain rights and obligations arising out of transactions involving letters of credit.(b) The statement of a rule in this article does not by itself require, imply or negate application of the same or a different rule to a situation not provided for, or to a person not specified, in this article.(c) With the exception of this subsection, subsections (a) and (d), K.S.A. 84-5-102(a)(9) and (10), K.S.A. 84-5-106(d) and K.S.A. 84-5-114(d), and amendments thereto, and except to the extent prohibited in K.S.A. 2021 Supp. 84-1-302 and K.S.A. 84-5-117(d), and amendments thereto, the effect of this article may be varied by agreement or by a provision stated or incorporated by reference in an undertaking. A term in an agreement or undertaking generally excusing liability or generally limiting remedies for failure to perform obligations is not sufficient to vary obligations prescribed by this article.(d) Rights and obligations of an issuer to a beneficiary or a nominated person under a letter of credit are independent of the existence, performance or nonperformance of a contract or arrangement out of which the letter of credit arises or which underlies it, including contracts or arrangements between the issuer and the applicant and between the applicant and the beneficiary.History: L. 1996, ch. 202, § 3; L. 2007, ch. 89, § 46; July 1, 2008.
KS Stat § 84-5-104 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-104 Formal requirements.

84-5-104. Formal requirements. A letter of credit, confirmation, advice, transfer, amendment or cancellation may be issued in any form that is a record and is authenticated (i) by a signature or (ii) in accordance with the agreement of the parties or the standard practice referred to in K.S.A. 84-5-108(e).History: L. 1996, ch. 202, § 4; July 1.
KS Stat § 84-5-105 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-105 Consideration.

84-5-105. Consideration. Consideration is not required to issue, amend, transfer or cancel a letter of credit, advice or confirmation.History: L. 1996, ch. 202, § 5; July 1.
KS Stat § 84-5-106 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-106 Issuance, amendment, cancellation and duration.

84-5-106. Issuance, amendment, cancellation and duration. (a) A letter of credit is issued and becomes enforceable according to its terms against the issuer when the issuer sends or otherwise transmits it to the person requested to advise or to the beneficiary. A letter of credit is revocable only if it so provides.(b) After a letter of credit is issued, rights and obligations of a beneficiary, applicant, confirmer, and issuer are not affected by an amendment or cancellation to which that person has not consented except to the extent the letter of credit provides that it is revocable or that the issuer may amend or cancel the letter of credit without that consent.(c) If there is no stated expiration date or other provision that determines its duration, a letter of credit expires one year after its stated date of issuance or, if none is stated, after the date on which it is issued.(d) A letter of credit that states that it is perpetual expires five years after its stated date of issuance, or if none is stated, after the date on which it is issued.History: L. 1996, ch. 202, § 6; July 1.
KS Stat § 84-5-107 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-107 Confirmer, nominated person and adviser.

84-5-107. Confirmer, nominated person and adviser. (a) A confirmer is directly obligated on a letter of credit and has the rights and obligations of an issuer to the extent of its confirmation. The confirmer also has rights against and obligations to the issuer as if the issuer were an applicant and the confirmer had issued the letter of credit at the request and for the account of the issuer.(b) A nominated person who is not a confirmer is not obligated to honor or otherwise give value for a presentation.(c) A person requested to advise may decline to act as an adviser. An adviser that is not a confirmer is not obligated to honor or give value for a presentation. An adviser undertakes to the issuer and to the beneficiary accurately to advise the terms of the letter of credit, confirmation, amendment or advice received by that person and undertakes to the beneficiary to check the apparent authenticity of the request to advise. Even if the advice is inaccurate, the letter of credit, confirmation or amendment is enforceable as issued.(d) A person who notifies a transferee beneficiary of the terms of a letter of credit, confirmation, amendment or advice has the rights and obligations of an adviser under subsection (c). The terms in the notice to the transferee beneficiary may differ from the terms in any notice to the transferor beneficiary to the extent permitted by the letter of credit, confirmation, amendment or advice received by the person who so notifies.History: L. 1996, ch. 202, § 7; July 1.
KS Stat § 84-5-109 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-109 Fraud and forgery.

84-5-109. Fraud and forgery. (a) If a presentation is made that appears on its face strictly to comply with the terms and conditions of the letter of credit, but a required document is forged or materially fraudulent, or honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant:(1) The issuer shall honor the presentation, if honor is demanded by (i) a nominated person who has given value in good faith and without notice of forgery or material fraud, (ii) a confirmer who has honored its confirmation in good faith, (iii) a holder in due course of a draft drawn under the letter of credit which was taken after acceptance by the issuer or nominated person, or (iv) an assignee of the issuer's or nominated person's deferred obligation that was taken for value and without notice of forgery or material fraud after the obligation was incurred by the issuer or nominated person; and(2) the issuer, acting in good faith, may honor or dishonor the presentation in any other case.(b) If an applicant claims that a required document is forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant, a court of competent jurisdiction may temporarily or permanently enjoin the issuer from honoring a presentation or grant similar relief against the issuer or other persons only if the court finds that:(1) The relief is not prohibited under the law applicable to an accepted draft or deferred obligation incurred by the issuer;(2) a beneficiary, issuer or nominated person who may be adversely affected is adequately protected against loss that it may suffer because the relief is granted;(3) all of the conditions to entitle a person to relief under the law of this state have been met; and(4) on the basis of the information submitted to the court, the applicant is more likely than not to succeed under its claim of forgery or material fraud and the person demanding honor does not qualify for protection under subsection (a)(1).History: L. 1996, ch. 202, § 9; July 1.
KS Stat § 84-5-110 (2021)
2021 Kansas Statutes|Chapter 84 - Uniform Commercial Code|Article 5 - Letters Of Credit|84-5-110 Warranties.

84-5-110. Warranties. (a) If its presentation is honored, the beneficiary warrants:(1) To the issuer, any other person to whom presentation is made, and the applicant that there is no fraud or forgery of the kind described in K.S.A. 84-5-109(a); and(2) to the applicant that the drawing does not violate any agreement between the applicant and beneficiary or any other agreement intended by them to be augmented by the letter of credit.(b) The warranties in subsection (a) are in addition to warranties arising under article 3, 4, 7 and 8 because of the presentation or transfer of documents covered by any of those articles.History: L. 1996, ch. 202, § 10; July 1.