MARVIN MANDEL, Governor

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(b) For any act or omission of any person
other than itself or its own branch or for less or
destruction of a draft, demand or document in transit or
in the possession of others; or

(c) Based on knowledge or lack of knowledge
of any usage of any particular trade,

(2)   An issuer must examine documents with care so
as to ascertain that on their face they appear to comply
with the terms of the credit but unless otherwise agreed
assumes no liability or responsibility for the
genuineness, falsification or effect of any document
which appears on such examination to be regular on its
face.

(3)   A non-bank issuer is not bound by any banking
usage of which it has no knowledge.

5—110. Availability of credit in portions; presenter's
reservation of lien or claim.

(1) Unless otherwise specified a credit may be used
in portions in the discretion of the beneficiary.

(2) Unless otherwise specified a person by
presenting a documentary draft or demand for payment
under a credit relinquishes upon its honor all claims to
the documents and a person by transferring such draft or
demand or causing such presentment authorises such
relinquishment. An explicit reservation of claim wakes
the draft or demand non—complying.

5—111. Warranties on transfer and presentment.

(1) Unless otherwise agreed the beneficiary by
transferring or presenting a documentary draft or demand
for payment warrants to all interested parties that the
necessary conditions of the credit have been complied
with. This is in addition to any warranties arising
under [subtitles] TITLES 3, 4, 7, and 8.

(2) Unless otherwise agreed a negotiating,
advising, confirming, collecting, or issuing bank
presenting or transferring a draft or demand for payment
under a credit warrants only the matters warranted by a
collecting bank under [subtitle] TITLE 4 and any such
other transferring a document warrants only the matters
warranted by an intermediary under [subtitles] TITLES 7
and 8.

5—112. Time allowed for honor or rejection; withholding
honor or rejection by consent; "presenter."