"Security procedure" means a procedure established by agreement of a customer and a receiving bank for the purpose of (i) verifying that a payment order or communication amending or cancelling a payment order is that of the customer, or (ii) detecting error in the transmission or the content of the payment order or communication. A security procedure may require the use of algorithms or other codes, identifying words or numbers, encryption, callback procedures, or similar security devices. Comparison of a signature on a payment order or communication with an authorized specimen signature of the customer is not by itself a security procedure.
Structure Code of Alabama
Part 2 - Issue and Acceptance of Payment Order.
Section 7-4A-201 - Security Procedure.
Section 7-4A-202 - Authorized and Verified Payment Orders.
Section 7-4A-203 - Unenforceability of Certain Verified Payment Orders.
Section 7-4A-205 - Erroneous Payment Orders.
Section 7-4A-207 - Misdescription of Beneficiary.
Section 7-4A-208 - Misdescription of Intermediary Bank or Beneficiary's Bank.
Section 7-4A-209 - Acceptance of Payment Order.
Section 7-4A-210 - Rejection of Payment Order.
Section 7-4A-211 - Cancellation and Amendment of Payment Order.
Section 7-4A-212 - Liability and Duty of Receiving Bank Regarding Unaccepted Payment Order.