Source: L. 2001: Entire article R&RE, p. 1344, § 1, effective July 1.
Example: An Italian bank issues a letter of credit that is confirmed by a New York bank. The beneficiary is a Connecticut corporation. The letter of credit provides that the issuer's liability is governed by Italian law, and the confirmation provides that the confirmer's liability is governed by the law of New York. Under Sections 9-306(b) and 5-116(a), Italy is the issuer's jurisdiction and New York is the confirmer's (nominated person's) jurisdiction. Because the confirmer's jurisdiction is a State, the law of New York governs perfection and priority of a security interest in the beneficiary's letter-of-credit right against the confirmer. See Section 9-306(a). However, because the issuer's jurisdiction is not a State, the law of that jurisdiction does not govern. See Section 9-306(a). Rather, the choice-of-law rule in Section 9-301(1) applies to perfection and priority of a security interest in the beneficiary's letter-of-credit right against the issuer. Under that section, perfection and priority are governed by the law of the jurisdiction in which the debtor (beneficiary) is located. That jurisdiction is Connecticut. See Section 9-307.
Structure Colorado Code
Title 4 - Uniform Commercial Code
Article 9 - Secured Transactions
Part 3 - Perfection and Priority
§ 4-9-301. Law Governing Perfection and Priority of Security Interests
§ 4-9-302. Law Governing Perfection and Priority of Agricultural Liens
§ 4-9-304. Law Governing Perfection and Priority of Security Interests in Deposit Accounts
§ 4-9-305. Law Governing Perfection and Priority of Security Interests in Investment Property
§ 4-9-306. Law Governing Perfection and Priority of Security Interests in Letter-of-Credit Rights
§ 4-9-308. When Security Interest or Agricultural Lien Is Perfected - Continuity of Perfection
§ 4-9-309. Security Interest Perfected Upon Attachment
§ 4-9-313. When Possession by or Delivery to Secured Party Perfects Security Interest Without Filing
§ 4-9-314. Perfection by Control
§ 4-9-315. Secured Party's Rights on Disposition of Collateral and in Proceeds
§ 4-9-316. Effect of Change in Governing Law
§ 4-9-317. Interests That Take Priority Over or Take Free of Security Interest or Agricultural Lien
§ 4-9-319. Rights and Title of Consignee With Respect to Creditors and Purchasers
§ 4-9-321. Licensee of General Intangible and Lessee of Goods in Ordinary Course of Business
§ 4-9-324. Priority of Purchase-Money Security Interests
§ 4-9-325. Priority of Security Interests in Transferred Collateral
§ 4-9-326. Priority of Security Interests Created by New Debtor
§ 4-9-327. Priority of Security Interests in Deposit Account
§ 4-9-328. Priority of Security Interests in Investment Property
§ 4-9-329. Priority of Security Interests in Letter-of-Credit Right
§ 4-9-330. Priority of Purchaser of Chattel Paper or Instrument
§ 4-9-332. Transfer of Money - Transfer of Funds From Deposit Account
§ 4-9-333. Priority of Certain Liens Arising by Operation of Law
§ 4-9-334. Priority of Security Interests in Fixtures and Crops
§ 4-9-337. Priority of Security Interests in Goods Covered by Certificate of Title
§ 4-9-339. Priority Subject to Subordination
§ 4-9-340. Effectiveness of Right of Recoupment or Set-Off Against Deposit Account
§ 4-9-341. Bank's Rights and Duties With Respect to Deposit Account
§ 4-9-342. Bank's Right to Refuse to Enter Into or Disclose Existence of Control Agreement