Colorado Code
Article 5 - Letters of Credit
§ 4-5-114. Assignment of Proceeds







Source: L. 96: Entire article R&RE, p. 199, § 1, effective July 1.
Editor's note: This section is similar to former § 4-5-116 as it existed prior to 1996.



Where the letter of credit must be presented as a condition to honor and the assignee holds and exhibits the letter of credit to the issuer or nominated person, the risk to the issuer or nominated person of having to pay twice is minimized. In such a situation, subsection (d) provides that the issuer or nominated person may not unreasonably withhold its consent to the assignment.