New York § 2-325 "Letter of Credit" Term; "Confirmed Credit"

New York Statutes

§ 2-325 — "Letter of Credit" Term; "Confirmed Credit"

New York § 2-325

Law UCCUniform Commercial Code

Part 3General Obligation and Construction of Contract

Art. 2Sales

This text of New York § 2-325 ("Letter of Credit" Term; "Confirmed Credit") is published on Counsel Stack Legal Research, covering New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.Y. Uniform Commercial Code § 2-325 (2026).

Text

Section 2--325. "Letter of Credit" Term; "Confirmed Credit".\n  (1) Failure of the buyer seasonably to furnish an agreed letter of\ncredit is a breach of the contract for sale.\n  (2) The delivery to seller of a proper letter of credit suspends the\nbuyer's obligation to pay. If the letter of credit is dishonored, the\nseller may on seasonable notification to the buyer require payment\ndirectly from him.\n  (3) Unless otherwise agreed the term "letter of credit" or "banker's\ncredit" in a contract for sale means an irrevocable credit issued by a\nfinancing agency of good repute and, where the shipment is overseas, of\ngood international repute. The term "confirmed credit" means that the\ncredit must also carry the direct obligation of such an agency which\ndoes business in the seller's fin

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Section 2--325. "Letter of Credit" Term; "Confirmed Credit".\n (1) Failure of the buyer seasonably to furnish an agreed letter of\ncredit is a breach of the contract for sale.\n (2) The delivery to seller of a proper letter of credit suspends the\nbuyer's obligation to pay. If the letter of credit is dishonored, the\nseller may on seasonable notification to the buyer require payment\ndirectly from him.\n (3) Unless otherwise agreed the term "letter of credit" or "banker's\ncredit" in a contract for sale means an irrevocable credit issued by a\nfinancing agency of good repute and, where the shipment is overseas, of\ngood international repute. The term "confirmed credit" means that the\ncredit must also carry the direct obligation of such an agency which\ndoes business in the seller's financial market.\n