Find Laws Find Lawyers Free Legal Forms USA State Laws

GEORGIA STATUTES AND CODES

§ 11-5-109 - Fraud and forgery

O.C.G.A. 11-5-109 (2010)
11-5-109. Fraud and forgery


(a) If a presentation is made that appears on its face strictly to comply with the terms and conditions of the letter of credit, but a required document is forged or materially fraudulent, or honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant:

(1) The issuer shall honor the presentation, if honor is demanded by:

(A) A nominated person who has given value in good faith and without notice of forgery or material fraud;

(B) A confirmer who has honored its confirmation in good faith;

(C) A holder in due course of a draft drawn under the letter of credit which was taken after acceptance by the issuer or nominated person; or

(D) An assignee of the issuer's or nominated person's deferred obligation that was taken for value and without notice of forgery or material fraud after the obligation was incurred by the issuer or nominated persons; and

(2) The issuer, acting in good faith, may honor or dishonor the presentation in any other case.

(b) If an applicant claims that a required document is forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant, a court of competent jurisdiction may temporarily or permanently enjoin the issuer from honoring a presentation or grant similar relief against the issuer or other persons only if the court finds that:

(1) The relief is not prohibited under the law applicable to an accepted draft or deferred obligation incurred by the issuer;

(2) A beneficiary, issuer, or nominated person who may be adversely affected is adequately protected against loss that it may suffer because the relief is granted;

(3) All of the conditions to entitle a person to the relief under the law of this state have been met; and

(4) On the basis of the information submitted to the court, the applicant is more likely than not to succeed under its claim of forgery or material fraud and the person demanding honor does not qualify for protection under paragraph (1) of subsection (a) of this Code section.

Georgia Forms by Issue

Georgia Abortion Forms
Georgia Children/Juvenile Forms
Georgia Court Forms
> Magistrate
Georgia Family Forms
Georgia Name Change Forms
Georgia Tax Forms

Georgia Law

Georgia State Laws
    > Georgia Child Support
    > Georgia Gun Laws
    > Georgia Statutes
Georgia Court
    > Furman v. Georgia
    > Gregg v. Georgia
    > Worcester v. Georgia
Georgia State
    > Georgia Counties
Georgia Tax
    > Georgia State Tax
Georgia Labor Laws
    > Georgia Unemployment
Georgia Agencies
    > Better Business Bureau Georgia
    > Georgia Department of Corrections
    > Georgia Department of Education
    > Georgia Department of Labor
    > Georgia Department of Revenue
    > Georgia DMV
    > Georgia Real Estate Commission
    > Georgia Secretary of State
    > Georgia Secretary of State Corporation

Georgia Court Map

Tips