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. § 5-107)
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§ 5—107. Confirmer, nominated person, and adviser
(a) A confirmer is directly obligated on a letter of credit and has the rights and obligations
of an issuer to the extent of its confirmation. The confirmer also has rights against
and obligations to the issuer as if the issuer were an applicant and the confirmer
had issued the letter of credit at the request and for the account of the issuer.
(b) A nominated person who is not a confirmer is not obligated to honor or otherwise give
value for a presentation.
(c) A person requested to advise may decline to act as an adviser. An adviser that is
not a confirmer is not obligated to honor or give value for a presentation. An adviser
undertakes to the issuer and to the beneficiary accurately to advise the terms of
the letter of credit, confirmation, amendment, or advice received by that person and
undertakes to the beneficiary to check the apparent authenticity of the request to
advise. Even if the advice is inaccurate, the letter of credit, confirmation, or amendment
is enforceable as issued.
(d) A person who notifies a transferee beneficiary of the terms of a letter of credit,
confirmation, amendment, or advice has the rights and obligations of an adviser under
subsection (c) of this section. The terms in the notice to the transferee beneficiary
may differ from the terms in any notice to the transferor beneficiary to the extent
permitted by the letter of credit, confirmation, amendment, or advice received by
the person who so notifies. (Added 1997, No. 65 (Adj. Sess.), § 1, eff. Jan. 1, 1999.)