(1) A financing agency by paying or purchasing for value a draft which
relates to a shipment of goods acquires to the extent of the payment or
purchase and in addition to its own rights under the draft and any
document of title securing it any rights of the shipper in the goods
including the right to stop delivery and the shipper's right to have the
draft honored by the buyer.
(2) The right to reimbursement of a financing agency which has in good
faith honored or purchased the draft under commitment to or authority
from the buyer is not impaired by subsequent discovery of defects with
reference to any relevant document which was apparently regular.
Structure New York Laws
2-501 - Insurable Interest in Goods; Manner of Identification of Goods.
2-502 - Buyer's Right to Goods on Seller's Repudiation, Failure to Deliever, or Insolvency.
2-503 - Manner of Seller's Tender of Delivery.
2-505 - Seller's Shipment Under Reservation.
2-506 - Rights of Financing Agency.
2-507 - Effect of Seller's Tender; Delivery on Condition.
2-508 - Cure by Seller of Improper Tender or Delivery; Replacement.
2-509 - Risk of Loss in the Absence of Breach.
2-510 - Effect of Breach on Risk of Loss.
2-511 - Tender of Payment by Buyer; Payment by Check.
2-512 - Payment by Buyer Before Inspection.
2-513 - Buyer's Right to Inspection of Goods.
2-514 - When Documents Deliverable on Acceptance; When on Payment.