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 Delaware Code
Part 2. Issue and Acceptance of Payment Order
§ 4A-202. Authorized and verified payment orders.
§ 4A-203. Unenforceability of certain verified payment orders.
§ 4A-205. Erroneous payment orders.
§ 4A-206. Transmission of payment order through funds-transfer or other communication system.
§ 4A-207. Misdescription of beneficiary.
§ 4A-208. Misdescription of intermediary bank or beneficiary's bank.
§ 4A-209. Acceptance of payment order.
§ 4A-210. Rejection of payment order.
§ 4A-211. Cancellation and amendment of payment order.
§ 4A-212. Liability and duty of receiving bank regarding unaccepted payment order.