The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
(Cite as: 9A V.S.A. § 5-103)
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§ 5—103. Scope
(a) This article applies to letters of credit and to certain rights and obligations arising
out of transactions involving letters of credit.
(b) The statement of a rule in this article does not by itself require, imply, or negate
application of the same or a different rule to a situation not provided for, or to
a person not specified, in this article.
(c) With the exception of this subsection, subsections (a) and (d) of this section, subdivisions
5—102(a)(9) and (10), subsection 5—106(d), and subsection 5—114(d) of this title, and except to the extent prohibited in section 1—302 and subsection 5—117(d) of this title, the effect of this article may be varied by agreement or by a provision stated or
incorporated by reference in an undertaking. A term in an agreement or undertaking
generally excusing liability or generally limiting remedies for failure to perform
obligations is not sufficient to vary obligations prescribed by this article.
(d) Rights and obligations of an issuer to a beneficiary or a nominated person under a
letter of credit are independent of the existence, performance, or nonperformance
of a contract or arrangement out of which the letter of credit arises or which underlies
it, including contracts or arrangements between the issuer and the applicant and between
the applicant and the beneficiary. (Added 1997, No. 65 (Adj. Sess.), § 1, eff. Jan. 1, 1999; amended 2007, No. 99 (Adj. Sess.), § 16.)