PARRIS N. GLENDENING, Governor                                 Ch. 652

(15) "SUCCESSOR OF A BENEFICIARY" MEANS A PERSON WHO SUCCEEDS
TO SUBSTANTIALLY ALL OF THE RIGHTS OF A BENEFICIARY BY OPERATION OF LAW,
INCLUDING A CORPORATION WITH OR INTO WHICH THE BENEFICIARY HAS BEEN
MERGED OR CONSOLIDATED, AN ADMINISTRATOR, EXECUTOR, PERSONAL
REPRESENTATIVE, TRUSTEE IN BANKRUPTCY, DEBTOR IN POSSESSION,
LIQUIDATOR, AND RECOVER.

(B)     DEFINITIONS IN OTHER TITLES OF THIS ARTICLE APPLYING TO THIS
TITLE AND THE SECTIONS IN WHICH THEY APPEAR ARE:

"ACCEPT" OR "ACCEPTANCE" § 3-409.

"VALUE." §§ 3-303 AND 4-211.

(C)     TITLE 1 OF THIS ARTICLE CONTAINS CERTAIN ADDITIONAL GENERAL
DEFINITIONS AND PRINCIPLES OF CONSTRUCTION AND INTERPRETATION
APPLICABLE THROUGHOUT THIS ARTICLE.

5-103. SCOPE.

(A)     THIS TITLE 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 TITLE 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
TITLE

(C)     WITH THE EXCEPTION OF THIS SUBSECTION, SUBSECTIONS (A) AND (D) OF
THIS SECTION, §§ 5-102(A)(9) AND (10), 5-106(D), AND 5-114(D) OF THIS TITLE, AND
EXCEPT TO THE EXTENT PROHIBITED IN §§ 1-102(3) AND 5-117(D) OF THIS ARTICLE,
THE EFFECT OF THIS TITLE 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 TITLE

(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.

5-104. FORMAL REQUIREMENTS.

A LETTER OF CREDIT, CONFIRMATION, ADVICE, TRANSFER, AMENDMENT, OR
CANCELLATION MAY BE ISSUED IN ANY FORM THAT IS A RECORD AND IS
AUTHENTICATED (I) BY A SIGNATURE OR (II) IN ACCORDANCE WITH THE
AGREEMENT OF THE PARTIES OR THE STANDARD PRACTICE REFERRED TO IN §
5-108(E) OF THIS TITLE

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