Okla. Stat. tit. 12A, § 12A-5-114
This is the official text of Okla. Stat. tit. 12A, § 12A-5-114, part of Oklahoma’s Stat. tit. 12A, — part of the compiled statutory law of Oklahoma, published by the state as "Stat. tit. 12A,." Browse the sections below, each linked to its official government source.
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Assignment of Proceeds
Official statutory text
Assignment of Proceeds.
(a) In this section, "proceeds of a letter of credit" means the
cash, check, accepted draft, or other item of value paid or
delivered upon honor or giving of value by the issuer or any
nominated person under the letter of credit. The term does not
include a beneficiary's drawing rights or documents presented by the
beneficiary.
(b) A beneficiary may assign its right to part or all of the
proceeds of a letter of credit. The beneficiary may do so before
presentation as a present assignment of its right to receive
proceeds contingent upon its compliance with the terms and
conditions of the letter of credit.
(c) An issuer or nominated person need not recognize an
assignment of proceeds of a letter of credit until it consents to
the assignment.
(d) An issuer or nominated person has no obligation to give or
withhold its consent to an assignment of proceeds of a letter of
credit, but consent may not be unreasonably withheld if the assignee
possesses and exhibits the letter of credit and presentation of the
letter of credit is a condition to honor.
Oklahoma Statutes - Title 12A. Uniform Commercial Code Page 391
(e) Rights of a transferee beneficiary or nominated person are
independent of the beneficiary's assignment of the proceeds of a
letter of credit and are superior to the assignee's right to the
proceeds.
(f) Neither the rights recognized by this section between an
assignee and an issuer, transferee beneficiary, or nominated person
nor the issuer's or nominated person's payment of proceeds to an
assignee or a third person affect the rights between the assignee
and any person other than the issuer, transferee beneficiary, or
nominated person. The mode of creating and perfecting a security
interest in or granting an assignment of a beneficiary's rights to
proceeds is governed by Article 9 of this title or other law.
Against persons other than the issuer, transferee beneficiary, or
nominated person, the rights and obligations arising upon the
creation of a security interest or other assignment of a
beneficiary's right to proceeds and its perfection are governed by
Article 9 of this title or other law.
(a) In this section, "proceeds of a letter of credit" means the
cash, check, accepted draft, or other item of value paid or
delivered upon honor or giving of value by the issuer or any
nominated person under the letter of credit. The term does not
include a beneficiary's drawing rights or documents presented by the
beneficiary.
(b) A beneficiary may assign its right to part or all of the
proceeds of a letter of credit. The beneficiary may do so before
presentation as a present assignment of its right to receive
proceeds contingent upon its compliance with the terms and
conditions of the letter of credit.
(c) An issuer or nominated person need not recognize an
assignment of proceeds of a letter of credit until it consents to
the assignment.
(d) An issuer or nominated person has no obligation to give or
withhold its consent to an assignment of proceeds of a letter of
credit, but consent may not be unreasonably withheld if the assignee
possesses and exhibits the letter of credit and presentation of the
letter of credit is a condition to honor.
Oklahoma Statutes - Title 12A. Uniform Commercial Code Page 391
(e) Rights of a transferee beneficiary or nominated person are
independent of the beneficiary's assignment of the proceeds of a
letter of credit and are superior to the assignee's right to the
proceeds.
(f) Neither the rights recognized by this section between an
assignee and an issuer, transferee beneficiary, or nominated person
nor the issuer's or nominated person's payment of proceeds to an
assignee or a third person affect the rights between the assignee
and any person other than the issuer, transferee beneficiary, or
nominated person. The mode of creating and perfecting a security
interest in or granting an assignment of a beneficiary's rights to
proceeds is governed by Article 9 of this title or other law.
Against persons other than the issuer, transferee beneficiary, or
nominated person, the rights and obligations arising upon the
creation of a security interest or other assignment of a
beneficiary's right to proceeds and its perfection are governed by
Article 9 of this title or other law.
Status: in_force · Read it on the official government site
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