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The Uniform Commercial Code (UCC) is a comprehensive set of laws governing all commercial transactions in the United States. It is not a federal law, but a uniformly adopted state law. Uniformity of law is essential in this area for the interstate transaction of business.
About the UCC Article 1:General ProvisionsArticle 2:SalesArticle 2A:LeasesArticle 3:Negotiable InstrumentsArticle 4:Bank Deposits & Collections7 more rows ?
§ 5-108. Issuer's Rights and Obligations. (a) Except as otherwise provided in Section 5-109, an issuer shall honor a presentation that, as determined by the standard practice referred to in subsection (e), appears on its face strictly to comply with the terms and conditions of the letter of credit.
Every U.S. state and the District of Columbia have adopted at least part of the UCC (though it has not been adopted as federal law). Each jurisdiction, however, may make its own modifications (Louisiana has never adopted Article 2), and may organize its version of the UCC differently.
A letter of credit, confirmation, advice, transfer, amendment or cancellation may be issued in any form that is a record and is authenticated (i) by a signature, or (ii) in ance with the agreement of the parties or the standard practice referred to in subsection (e) of section 42a-5-108.
The Uniform Commercial Code (UCC) is organized into nine substantive articles, each article governing a separate area of the law. UCC Article 6 governs bulk sales, a topic which many states have determined is obsolete. In 1989, the ULC and ALI released two options for UCC Article 6 - revise or repeal.
The UCC definition of goods is set out in Article 2, section 2-105 as "all things ... which are movable ... other than money ... investment securities, and things in action. Goods also include the unborn young of animals and growing crops, and other identified things attached to realty..."
Uniform Commercial Code Article 3 governs negotiable instruments: drafts (including checks) and notes representing a promise to pay a sum of money, and that have independent value because they are negotiable.