Georgia § 11-5-118 Security interest of issuer or nominated person

Georgia Statutes

§ 11-5-118 — Security interest of issuer or nominated person

Georgia § 11-5-118

Title11

This text of Georgia § 11-5-118 (Security interest of issuer or nominated person) is published on Counsel Stack Legal Research, covering Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

O.C.G.A. § 11-5-118 (2026).

Text

(a)An issuer or nominated person has a security interest in a document presented under a letter of credit to the extent that the issuer or nominated person honors or gives value for the presentation.

(b)So long as and to the extent that an issuer or nominated person has not been reimbursed or has not otherwise recovered the value given with respect to a security interest in a document under subsection (a) of this Code section, the security interest continues and is subject to Article 9 of this title, but:

(1)A security agreement is not necessary to make the security interest enforceable under paragraph (3) of subsection (b) of Code Section 11-9-203 ;

(2)If the document is presented in a medium other than a written or other tangible medium, the security interest is perfected; and (3) If

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(a) An issuer or nominated person has a security interest in a document presented under a letter of credit to the extent that the issuer or nominated person honors or gives value for the presentation. (b) So long as and to the extent that an issuer or nominated person has not been reimbursed or has not otherwise recovered the value given with respect to a security interest in a document under subsection (a) of this Code section, the security interest continues and is subject to Article 9 of this title, but: (1) A security agreement is not necessary to make the security interest enforceable under paragraph (3) of subsection (b) of Code Section 11-9-203 ; (2) If the document is presented in a medium other than a written or other tangible medium, the security interest is perfected; and (3) If the document is presented in a written or other tangible medium and is not a certificated security, chattel paper, a document of title, an instrument, or a letter of credit, the security interest is perfected and has priority over a conflicting security interest in the document so long as the debtor does not have possession of the document.

Legislative History

Added by 2002 Ga. Laws 874,§ 1, eff. 7/1/2002. Added by 2001 Ga. Laws 191, §14, eff. 7/1/2001. A former section with this number was repealed and reenacted by Ga. Laws 874, § 1.