reglab/housing_qa huggingface dataset:
IA Code § 554.5101 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5101 - Short title.

554.5101 Short title.   This Article shall be known and may be cited as Uniform Commercial Code — Letters of Credit.  [C66, 71, 73, 75, 77, 79, 81, §554.5101]
IA Code § 554.5103 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5103 - Scope.

554.5103 Scope.   1. This Article applies to letters of credit and to certain rights and obligations arising out of transactions involving letters of credit.   2. 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.   3. With the exception of this subsection, subsections 1 and 4, section 554.5102, subsection 1, paragraphs “i” and “j”, section 554.5106, subsection 4, and section 554.5114, subsection 4, and except to the extent prohibited in section 554.1302 and section 554.5117, subsection 4, 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.   4. 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.  [C66, 71, 73, 75, 77, 79, 81, §554.5103]  94 Acts, ch 1167, §117, 122; 96 Acts, ch 1026, §2, 28; 2007 Acts, ch 41, §28  Referred to in §554.5116
IA Code § 554.5104 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5104 - Formal requirements.

554.5104 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 by a signature or in accordance with the agreement of the parties or the standard practice referred to in section 554.5108, subsection 5.  [C66, 71, 73, 75, 77, 79, 81, §554.5104]  96 Acts, ch 1026, §3, 28; 2012 Acts, ch 1023, §146  Referred to in §554.5102, 554.5116
IA Code § 554.5105 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5105 - Consideration.

554.5105 Consideration.   Consideration is not required to issue, amend, transfer, or cancel a letter of credit, advice, or confirmation.  [C66, 71, 73, 75, 77, 79, 81, §554.5105]  96 Acts, ch 1026, §4, 28
IA Code § 554.5106 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5106 - Issuance, amendment, cancellation, and duration.

554.5106 Issuance, amendment, cancellation, and duration.   1. 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.   2. 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.   3. 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.   4. 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.  [C66, 71, 73, 75, 77, 79, 81, §554.5106]  96 Acts, ch 1026, §5, 28  Referred to in §554.5103
IA Code § 554.5107 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5107 - Confirmer, nominated person, and adviser.

554.5107 Confirmer, nominated person, and adviser.   1. 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.   2. A nominated person who is not a confirmer is not obligated to honor or otherwise give value for a presentation.   3. 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.   4. 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 3. 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.  [C66, 71, 73, 75, 77, 79, 81, §554.5107]  96 Acts, ch 1026, §6, 28
IA Code § 554.5109 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5109 - Fraud and forgery.

554.5109 Fraud and forgery.   1. 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:   a. the issuer shall honor the presentation, if honor is demanded by a nominated person who has given value in good faith and without notice of forgery or material fraud, a confirmer who has honored its confirmation in good faith, 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 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   b. the issuer, acting in good faith, may honor or dishonor the presentation in any other case.   2. 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:   a. the relief is not prohibited under the law applicable to an accepted draft or deferred obligation incurred by the issuer;   b. 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;   c. all of the conditions to entitle a person to the relief under the law of this state have been met; and   d. 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 1, paragraph “a”.  [C66, 71, 73, 75, 77, 79, 81, §554.5109]  96 Acts, ch 1026, §8, 28; 2013 Acts, ch 30, §261  Referred to in §554.2512, 554.5108, 554.5110, 554.5113
IA Code § 554.5110 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5110 - Warranties.

554.5110 Warranties.   1. If its presentation is honored, the beneficiary warrants:   a. 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 section 554.5109, subsection 1; and   b. 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.   2. The warranties in subsection 1 are in addition to warranties arising under Articles 3, 4, 7, and 8 because of the presentation or transfer of documents covered by any of those Articles.  [C66, 71, 73, 75, 77, 79, 81, §554.5110]  96 Acts, ch 1026, §9, 28  Referred to in §554.5108
IA Code § 554.5111 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5111 - Remedies.

554.5111 Remedies.   1. If an issuer wrongfully dishonors or repudiates its obligation to pay money under a letter of credit before presentation, the beneficiary, successor, or nominated person presenting on its own behalf may recover from the issuer the amount that is the subject of the dishonor or repudiation. If the issuer’s obligation under the letter of credit is not for the payment of money, the claimant may obtain specific performance or, at the claimant’s election, recover an amount equal to the value of performance from the issuer. In either case, the claimant may also recover incidental but not consequential damages. The claimant is not obligated to take action to avoid damages that might be due from the issuer under this subsection. If, although not obligated to do so, the claimant avoids damages, the claimant’s recovery from the issuer must be reduced by the amount of damages avoided. The issuer has the burden of proving the amount of damages avoided. In the case of repudiation the claimant need not present any document.   2. If an issuer wrongfully dishonors a draft or demand presented under a letter of credit or honors a draft or demand in breach of its obligation to the applicant, the applicant may recover damages resulting from the breach, including incidental but not consequential damages, less any amount saved as a result of the breach.   3. If an adviser or nominated person other than a confirmer breaches an obligation under this Article or an issuer breaches an obligation not covered in subsection 1 or 2, a person to whom the obligation is owed may recover damages resulting from the breach, including incidental but not consequential damages, less any amount saved as a result of the breach. To the extent of the confirmation, a confirmer has the liability of an issuer specified in this subsection and subsections 1 and 2.   4. An issuer, nominated person, or adviser who is found liable under subsection 1, 2, or 3 shall pay interest on the amount owed thereunder from the date of wrongful dishonor or other appropriate date.   5. Reasonable attorney’s fees and other expenses of litigation must be awarded to the prevailing party in an action in which a remedy is sought under this Article.   6. Damages that would otherwise be payable by a party for breach of an obligation under this Article may be liquidated by agreement or undertaking, but only in an amount or by a formula that is reasonable in light of the harm anticipated.  [C66, 71, 73, 75, 77, 79, 81, §554.5111]  96 Acts, ch 1026, §10, 28
IA Code § 554.5112 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5112 - Transfer of letter of credit.

554.5112 Transfer of letter of credit.   1. Except as otherwise provided in section 554.5113, unless a letter of credit provides that it is transferable, the right of a beneficiary to draw or otherwise demand performance under a letter of credit may not be transferred.   2. Even if a letter of credit provides that it is transferable, the issuer may refuse to recognize or carry out a transfer if:   a. the transfer would violate applicable law; or   b. the transferor or transferee has failed to comply with any requirement stated in the letter of credit or any other requirement relating to transfer imposed by the issuer which is within the standard practice referred to in section 554.5108, subsection 5, or is otherwise reasonable under the circumstances.  [C66, 71, 73, 75, 77, 79, 81, §554.5112]  96 Acts, ch 1026, §11, 28  Referred to in §539.1, 539.2
IA Code § 554.5113 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5113 - Transfer by operation of law.

554.5113 Transfer by operation of law.   1. A successor of a beneficiary may consent to amendments, sign and present documents, and receive payment or other items of value in the name of the beneficiary without disclosing its status as a successor.   2. A successor of a beneficiary may consent to amendments, sign and present documents, and receive payment or other items of value in its own name as the disclosed successor of the beneficiary. Except as otherwise provided in subsection 5, an issuer shall recognize a disclosed successor of a beneficiary as beneficiary in full substitution for its predecessor upon compliance with the requirements for recognition by the issuer of a transfer of drawing rights by operation of law under the standard practice referred to in section 554.5108, subsection 5, or, in the absence of such a practice, compliance with other reasonable procedures sufficient to protect the issuer.   3. An issuer is not obliged to determine whether a purported successor is a successor of a beneficiary or whether the signature of a purported successor is genuine or authorized.   4. Honor of a purported successor’s apparently complying presentation under subsection 1 or 2 has the consequences specified in section 554.5108, subsection 9, even if the purported successor is not the successor of a beneficiary. Documents signed in the name of the beneficiary or of a disclosed successor by a person who is neither the beneficiary nor the successor of the beneficiary are forged documents for the purposes of section 554.5109.   5. An issuer whose rights of reimbursement are not covered by subsection 4 or substantially similar law and any confirmer or nominated person may decline to recognize a presentation under subsection 2.   6. A beneficiary whose name is changed after the issuance of a letter of credit has the same rights and obligations as a successor of a beneficiary under this section.  [C66, 71, 73, 75, 77, 79, 81, §554.5113]  96 Acts, ch 1026, §12, 28  Referred to in §539.1, 539.2, 554.5108, 554.5112
IA Code § 554.5114 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5114 - Assignment of proceeds.

554.5114 Assignment of proceeds.   1. In this section, “proceeds of a letter of credit” means the cash, check, accepted draft, or other item of value paid or delivered upon honor or giving of value by the issuer or any nominated person under the letter of credit. The term does not include a beneficiary’s drawing rights or documents presented by the beneficiary.   2. A beneficiary may assign its right to part or all of the proceeds of a letter of credit. The beneficiary may do so before presentation as a present assignment of its right to receive proceeds contingent upon its compliance with the terms and conditions of the letter of credit.   3. An issuer or nominated person need not recognize an assignment of proceeds of a letter of credit until it consents to the assignment.   4. An issuer or nominated person has no obligation to give or withhold its consent to an assignment of proceeds of a letter of credit, but consent may not be unreasonably withheld if the assignee possesses and exhibits the letter of credit and presentation of the letter of credit is a condition to honor.   5. Rights of a transferee beneficiary or nominated person are independent of the beneficiary’s assignment of the proceeds of a letter of credit and are superior to the assignee’s right to the proceeds.   6. Neither the rights recognized by this section between an assignee and an issuer, transferee beneficiary, or nominated person nor the issuer’s or nominated person’s payment of proceeds to an assignee or a third person affect the rights between the assignee and any person other than the issuer, transferee beneficiary, or nominated person. The mode of creating and perfecting a security interest in or granting an assignment of a beneficiary’s rights to proceeds is governed by Article 9 or other law. Against persons other than the issuer, transferee beneficiary, or nominated person, the rights and obligations arising upon the creation of a security interest or other assignment of a beneficiary’s right to proceeds and its perfection are governed by Article 9 or other law.  [C66, 71, 73, 75, 77, 79, 81, §554.5114]  89 Acts, ch 113, §55; 96 Acts, ch 1026, §13, 28  Referred to in §539.1, 539.2, 554.5103, 554.9102, 554.9107, 554.9109
IA Code § 554.5115 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5115 - Statute of limitations.

554.5115 Statute of limitations.   An action to enforce a right or obligation arising under this Article must be commenced within one year after the expiration date of the relevant letter of credit or one year after the cause of action accrues, whichever occurs later. A cause of action accrues when the breach occurs, regardless of the aggrieved party’s lack of knowledge of the breach.  [C66, 71, 73, 75, 77, 79, 81, §554.5115]  96 Acts, ch 1026, §14, 28
IA Code § 554.5116 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5116 - Choice of law and forum.

554.5116 Choice of law and forum.   1. The liability of an issuer, nominated person, or adviser for action or omission is governed by the law of the jurisdiction chosen by an agreement in the form of a record signed or otherwise authenticated by the affected parties in the manner provided in section 554.5104 or by a provision in the person’s letter of credit, confirmation, or other undertaking. The jurisdiction whose law is chosen need not bear any relation to the transaction.   2. Unless subsection 1 applies, the liability of an issuer, nominated person, or adviser for action or omission is governed by the law of the jurisdiction in which the person is located. The person is considered to be located at the address indicated in the person’s undertaking. If more than one address is indicated, the person is considered to be located at the address from which the person’s undertaking was issued. For the purpose of jurisdiction, choice of law, and recognition of interbranch letters of credit, but not enforcement of a judgment, all branches of a bank are considered separate juridical entities and a bank is considered to be located at the place where its relevant branch is considered to be located under this subsection.   3. Except as otherwise provided in this subsection, the liability of an issuer, nominated person, or adviser is governed by any rules of custom or practice, such as the uniform customs and practice for documentary credits, to which the letter of credit, confirmation, or other undertaking is expressly made subject. If this Article would govern the liability of an issuer, nominated person, or adviser under subsection 1 or 2, the relevant undertaking incorporates rules of custom or practice, and there is conflict between this Article and those rules as applied to that undertaking, those rules govern except to the extent of any conflict with the nonvariable provisions specified in section 554.5103, subsection 3.   4. If there is conflict between this Article and Article 3, 4, 9, or 12, this Article governs.   5. The forum for settling disputes arising out of an undertaking within this Article may be chosen in the manner and with the binding effect that governing law may be chosen in accordance with subsection 1.  [C66, 71, 73, 75, 77, 79, 81, §554.5116]  96 Acts, ch 1026, §15, 28; 97 Acts, ch 23, §69; 2013 Acts, ch 30, §261  Referred to in §554.1301, 554.9306
IA Code § 554.5117 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5117 - Subrogation of issuer, applicant, and nominated person.

554.5117 Subrogation of issuer, applicant, and nominated person.   1. An issuer that honors a beneficiary’s presentation is subrogated to the rights of the beneficiary to the same extent as if the issuer were a secondary obligor of the underlying obligation owed to the beneficiary and of the applicant to the same extent as if the issuer were the secondary obligor of the underlying obligation owed to the applicant.   2. An applicant that reimburses an issuer is subrogated to the rights of the issuer against any beneficiary, presenter, or nominated person to the same extent as if the applicant were the secondary obligor of the obligations owed to the issuer and has the rights of subrogation of the issuer to the rights of the beneficiary stated in subsection 1.   3. A nominated person who pays or gives value against a draft or demand presented under a letter of credit is subrogated to the rights of:   a. the issuer against the applicant to the same extent as if the nominated person were a secondary obligor of the obligation owed to the issuer by the applicant;   b. the beneficiary to the same extent as if the nominated person were a secondary obligor of the underlying obligation owed to the beneficiary; and   c. the applicant to the same extent as if the nominated person were a secondary obligor of the underlying obligation owed to the applicant.   4. Notwithstanding any agreement or term to the contrary, the rights of subrogation stated in subsections 1 and 2 do not arise until the issuer honors the letter of credit or otherwise pays and the rights in subsection 3 do not arise until the nominated person pays or otherwise gives value. Until then, the issuer, nominated person, and the applicant do not derive under this section present or prospective rights forming the basis of a claim, defense, or excuse.  [C66, 71, 73, 75, 77, 79, 81, §554.5117]  96 Acts, ch 1026, §16, 28  Referred to in §554.5103, 554.5108
IA Code § 554.5118 (2021)
2021 Iowa Code|Title XIII - COMMERCE|Chapter 554 - UNIFORM COMMERCIAL CODE|Section 554.5118 - Security interest of issuer or nominated person.

554.5118 Security interest of issuer or nominated person.   1. An issuer or nominated person has a security interest in a document presented under a letter of credit to the extent that the issuer or nominated person honors or gives value for the presentation.   2. So long as and to the extent that an issuer or nominated person has not been reimbursed or has not otherwise recovered the value given with respect to a security interest in a document under subsection 1, the security interest continues and is subject to Article 9, but:   a. a security agreement is not necessary to make the security interest enforceable under section 554.9203, subsection 2, paragraph “c”;   b. if the document is presented in a medium other than a written or other tangible medium, the security interest is perfected; and   c. if the document is presented in a written or other tangible medium and is not a certificated security, chattel paper, a document of title, an instrument, or a letter of credit, the security interest is perfected and has priority over a conflicting security interest in the document so long as the debtor does not have possession of the document.  2000 Acts, ch 1149, §147, 187  Referred to in §554.9102, 554.9109, 554.9203, 554.9309, 554.9322