South Carolina § 36-7-507 Warranties on negotiation or delivery of document of title.

South Carolina Statutes

§ 36-7-507 — Warranties on negotiation or delivery of document of title.

South Carolina·Title 36 COMMERCIAL CODE·Ch. 7 COMMERCIAL CODE—WAREHOUSE RECEIPTS, BILLS OF LADING AND OTHER DOCUMENTS OF TITLE

If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under Section 36-7-508, then unless otherwise agreed the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that:

(1)the document is genuine;

(2)the transferor does not have knowledge of any fact that would impair the document's validity or worth; and (3) the negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.

Free access — add to your briefcase to read the full text and ask questions with AI

If a person negotiates or delivers a document of title for value, otherwise than as a mere intermediary under Section 36-7-508, then unless otherwise agreed the transferor, in addition to any warranty made in selling or leasing the goods, warrants to its immediate purchaser only that: (1) the document is genuine; (2) the transferor does not have knowledge of any fact that would impair the document's validity or worth; and (3) the negotiation or delivery is rightful and fully effective with respect to the title to the document and the goods it represents.

South Carolina § 36-7-507 (Warranties on negotiation or delivery of document of title.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

HISTORY: 1962 Code SECTION 10.7-507; 1966 (54) 2716; 2014 Act No. 213 (S.343), SECTION 2, eff October 1, 2014. OFFICIAL COMMENT Prior Uniform Statutory Provision: Former Section 7-507. Changes: Substitution of the word "delivery" for the word "transfer," reference leasing transactions and style. Purposes: 1. Delivery of goods by use of a document of title does not limit or displace the ordinary obligations of a seller or lessor as to any warranties regarding the goods that arises under other law. If the transfer of documents attends or follows the making of a contract for the sale or lease of goods, the general obligations on warranties as to the goods (Sections 2-312 through 2-318 and Sections 2A-210 through 2A-316) are brought to bear as well as the special warranties under this section. 2. The limited warranties of a delivering or collecting intermediary, including a collecting bank, are stated in Section 7-508. Cross References: Point 1: Sections 2-312 through 2-318 and 2A-310-through 2A-316. Point 2: Section 7-508. Definitional Cross References: "Delivery". Section 1-201. "Document of title". Section 1-201. "Genuine". Section 1-201. "Goods". Section 7-102. "Person". Section 1-201. "Purchaser". Section 1-201. "Value". Section 1-204. Editor's Note 2014 Act No. 213, SECTION 51, provides as follows: "SECTION 51. This act becomes effective on October 1, 2014. It applies to transactions entered into and events occurring after that date."