2012 Pennsylvania Consolidated Statutes
Title 13 - COMMERCIAL CODE
Chapter 51 - Letters of Credit
Section 5113 - Transfer by operation of law

     § 5113.  Transfer by operation of law.
        (a)  Undisclosed successor.--A successor of a beneficiary may
     consent to amendments, sign and present documents and receive
     payment or other items of value in the name of the beneficiary
     without disclosing its status as a successor.
        (b)  Disclosed successor.--A successor of a beneficiary may
     consent to amendments, sign and present documents and receive
     payment or other items of value in its own name as the disclosed
     successor of the beneficiary. Except as otherwise provided in
     subsection (e), an issuer shall recognize a disclosed successor
     of a beneficiary as beneficiary in full substitution for its
     predecessor upon compliance with the requirements for
     recognition by the issuer of a transfer of drawing rights by
     operation of law under the standard practice referred to in
     section 5108(e) (relating to standard practice) or, in the
     absence of such a practice, compliance with other reasonable
     procedures sufficient to protect the issuer.
        (c)  Determination of successor status, signature.--An issuer
     is not obliged to determine whether a purported successor is a
     successor of a beneficiary or whether the signature of a
     purported successor is genuine or authorized.
        (d)  Effect of honor of presentation by purported
     successor.--Honor of a purported successor's apparently
     complying presentation under subsection (a) or (b) has the
     consequences specified in section 5108(i) (relating to certain
     consequences of honor) even if the purported successor is not
     the successor of a beneficiary. Documents signed in the name of
     the beneficiary or of a disclosed successor by a person who is
     neither the beneficiary nor the successor of the beneficiary are
     forged documents for the purposes of section 5109 (relating to
     fraud and forgery).
        (e)  Right to decline to recognize presentation.--An issuer
     whose rights of reimbursement are not covered by subsection (d)
     or substantially similar law and any confirmer or nominated
     person may decline to recognize a presentation under subsection
     (b).
        (f)  Change of name.--A beneficiary whose name is changed
     after the issuance of a letter of credit has the same rights and
     obligations as a successor of a beneficiary under this section.

        Special Provisions in Appendix.  See section 28 of Act 18 of
     2001 in the appendix to this title for special provisions
     relating to applicability of transitional provisions.
        Cross References.  Section 5113 is referred to in sections
     5108, 5112, 9700 of this title.