50-73.80 - Knowledge and notice. - Virginia Statutes

§ 50-73.80. Knowledge and notice.

A. A person knows a fact if the person has actual knowledge of it.

B. A person has notice of a fact if the person:

1. Knows of it;

2. Has received a notification of it; or

3. Has reason to know it exists from all of the facts known to the person atthe time in question.

C. A person notifies or gives a notification to another by taking stepsreasonably calculated to inform the other person in ordinary course, whetheror not the other person learns of it.

D. A person receives a notification when the notification:

1. Comes to the person's attention; or

2. Is duly delivered at the person's place of business or at any other placeheld out by the person as a place for receiving communications.

E. Except as otherwise provided in subsection F, a person other than anindividual knows, has notice, or receives a notification of a fact forpurposes of a particular transaction when the individual conducting thetransaction knows, has notice, or receives a notification of the fact, or inany event when the fact would have been brought to the individual's attentionif the person had exercised reasonable diligence. The person exercisesreasonable diligence if it maintains reasonable routines for communicatingsignificant information to the individual conducting the transaction andthere is reasonable compliance with the routines. Reasonable diligence doesnot require an individual acting for the person to communicate informationunless the communication is part of the individual's regular duties or theindividual has reason to know of the transaction and that the transactionwould be materially affected by the information.

F. A partner's knowledge, notice, or receipt of a notification of a factrelating to the partnership is effective immediately as knowledge by, noticeto, or receipt of a notification by the partnership, except in the case of afraud on the partnership committed by or with the consent of that partner.

(1996, c. 292.)