§ 26-1-5.1-106 — Time and effect of establishment of credit; expiration

Indiana § 26-1-5.1-106

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 5.1: Letters of Credit

Text

(a) A letter of credit is issued and
becomes enforceable according to its terms against the issuer when the
issuer sends or otherwise transmits it to the person requested to advise
or to the beneficiary. A letter of credit is revocable only if it so
provides.
(b) After a letter of credit is issued, rights and obligations of a
beneficiary, applicant, confirmer, and issuer are not affected by an
amendment or cancellation to which that person has not consented
except to the extent the letter of credit provides that it is revocable or
that the issuer may amend or cancel the letter of credit without that
consent.
(c) If there is no stated expiration date or other provision that
determines its duration, a letter of credit expires one (1) year after its
stated date of issuance or, if none is stated, after the date on which it is
issued.
(d) A letter of credit that states that it is perpetual expires five (5)
years after its stated date of issuance, or if none is stated, after the date
on which it is issued.

Legislative History

As added by P.L.183-1996, SEC.4.