(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 subsection (a) of section 42a-5-109; and (2) to the applicant that the drawing does not violate any agreement between the applicant and the beneficiary or any other agreement intended by them to be augmented by the letter of credit.
(b) The warranties in subsection (a) of this section 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.
(1959, P.A. 133, S. 5-110; P.A. 96-198, S. 10.)
History: P.A. 96-198 entirely replaced former provisions re the availability of credit in portions and the relinquishment by a presenter of all claims to the documents with provisions re warranties, in part a restatement of Sec. 42a-5-111, revised to 1995.
Cited. 173 C. 492.
Structure Connecticut General Statutes
Title 42a - Uniform Commercial Code
Section 42a-5-101. - Short title: Uniform Commercial Code–Letters of Credit.
Section 42a-5-102. - Definitions.
Section 42a-5-104. - Formal requirements.
Section 42a-5-105. - Consideration.
Section 42a-5-106. - Issuance, amendment, cancellation and duration.
Section 42a-5-107. - Confirmer, nominated person and adviser.
Section 42a-5-108. - Issuer's rights and obligations.
Section 42a-5-109. - Fraud and forgery.
Section 42a-5-110. - Warranties.
Section 42a-5-111. - Remedies.
Section 42a-5-112. - Transfer of letter of credit.
Section 42a-5-113. - Transfer by operation of law.
Section 42a-5-114. - Assignment of proceeds.
Section 42a-5-115. - Statute of limitations.
Section 42a-5-116. - Choice of law and forum.
Section 42a-5-117. - Subrogation of issuer, applicant and nominated person.
Section 42a-5-118. - Security interest of issuer or nominated person.