Sec. 5-110. Warranties.
107 words·~1 min read·
/il/chapter-810/act-5/5-110A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Sec. 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 Section 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 Articles 3, 4, 7, and 8 because of the presentation or transfer of documents covered by any of those Articles.