North Dakota Statutes

§ 41-05-12 — (5-112) Transfer of letter of credit

North Dakota § 41-05-12
JurisdictionNorth Dakota
Title 41Uniform Commercial Code
Ch. 41-05Letters of Credit

This text of North Dakota § 41-05-12 ((5-112) Transfer of letter of credit) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
N.D. Cent. Code § 41-05-12 (2026).

Text

1.Except as otherwise provided in section 41-05-13, unless a letter of credit provides that it is transferable, the right of a beneficiary to draw or otherwise demand performance under a letter of credit may not be transferred.
2.Even if a letter of credit provides that it is transferable, the issuer may refuse to recognize or carry out a transfer if:
a.The transfer would violate applicable law; or
b.The transferor or transferee has failed to comply with any requirement stated in the letter of credit or any other requirement relating to transfer imposed by the issuer which is within the standard practice referred to in subsection 5 of section 41-05-08 or is otherwise reasonable under the circumstances.

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Bluebook (online)
North Dakota § 41-05-12, Counsel Stack Legal Research, https://law.counselstack.com/statute/nd/41-05-12.