Florida Statute 675.109 - Full Text and Legal Analysis

The 2025 Florida Statutes

Title XXXIX
COMMERCIAL RELATIONS

Chapter 675
UNIFORM COMMERCIAL CODE: LETTERS OF CREDIT

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F.S. 675.109

675.109 Fraud and forgery.—

(1) If a presentation is made that appears on its face strictly to comply with the terms and conditions of the letter of credit, but a required document is forged or materially fraudulent, or honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant:

(a) The issuer shall honor the presentation, if honor is demanded by:

1. A nominated person who has given value in good faith and without notice of forgery or material fraud;

2. A confirmer who has honored its confirmation in good faith;

3. A holder in due course of a draft drawn under the letter of credit which was taken after acceptance by the issuer or nominated person; or

4. An assignee of the issuer’s or nominated person’s deferred obligation that was taken for value and without notice of forgery or material fraud after the obligation was incurred by the issuer or nominated person.

(b) The issuer, acting in good faith, may honor or dishonor the presentation in any other case.

(2) If an applicant claims that a required document is forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant, a court of competent jurisdiction may temporarily or permanently enjoin the issuer from honoring a presentation or grant similar relief against the issuer or other persons only if the court finds that:

(a) The relief is not prohibited under the law applicable to an accepted draft or deferred obligation incurred by the issuer;

(b) A beneficiary, issuer, or nominated person who may be adversely affected is adequately protected against loss that it may suffer because the relief is granted;

(d) On the basis of the information submitted to the court, the applicant is more likely than not to succeed under its claim of forgery or material fraud and the person demanding honor does not qualify for protection under paragraph (1)(a).

History.—s. 1, ch. 65-254; s. 1, ch. 99-137.

Note.—s. 5-109, U.C.C.

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Amendments to 675.109

Annotations, Discussions, Cases:

Cases Citing Statute 675.109

Total Results: 8

Braun v. Intercontinental Bank

466 So. 2d 1130, 10 Fla. L. Weekly 735

District Court of Appeal of Florida | Filed: Mar 19, 1985 | Docket: 1524940

Cited 9 times | Published

underlying contract between Braun and Griferia. § 675.109(1)(a), Fla. Stat. (1981). See Fidelity National

JIM MACON BLDG. CONTRACTORS. INC. v. Lake County

763 So. 2d 1223, 41 U.C.C. Rep. Serv. 2d (West) 1210, 2000 Fla. App. LEXIS 6781, 2000 WL 707286

District Court of Appeal of Florida | Filed: Jun 2, 2000 | Docket: 1278628

Cited 7 times | Published

371 So.2d 545, 548 (Fla. 3d DCA 1979); see also § 675.109(1)(a), Fla. Stat. (1993); Banco Gen. Runinahui;

Leasing Service Corp. v. Wendel (In Re Air Conditioning, Inc. of Stuart)

72 B.R. 657, 1987 U.S. Dist. LEXIS 8495

District Court, S.D. Florida | Filed: Mar 10, 1987 | Docket: 1078832

Cited 7 times | Published

issuing bank and the account party. See Fla.Stat. § 675.109. Pringle-Associated Mortgage Corp. v. Southern

Intrinsic Values Corp. v. Superintendencia

806 So. 2d 616, 2002 WL 181133

District Court of Appeal of Florida | Filed: Feb 6, 2002 | Docket: 1345628

Cited 4 times | Published

Superintendencia brought an action pursuant to section 675.109(2), Florida Statutes (2001)to prevent First

Cargill, Inc. v. Sunlight Foods, Inc.

586 So. 2d 366, 15 U.C.C. Rep. Serv. 2d (West) 208, 1991 Fla. App. LEXIS 5650, 1991 WL 104631

District Court of Appeal of Florida | Filed: Jun 18, 1991 | Docket: 1487721

Cited 4 times | Published

[Sunlight] and the beneficiary [Cargill]... ." § 675.109(1)(a), Fla. Stat. (1989). When the beneficiary

Lewis State Bank v. Advance Mortg. Corp.

362 So. 2d 406, 25 U.C.C. Rep. Serv. (West) 245, 1978 Fla. App. LEXIS 17204

District Court of Appeal of Florida | Filed: Aug 24, 1978 | Docket: 1363664

Cited 4 times | Published

$55,790.00 [3] Section 675.109(2), F.S. (1977), requires the issuing bank

Lennar Homes, LLC v. v. VENTURES, LLC

988 So. 2d 660, 2008 WL 2744389

District Court of Appeal of Florida | Filed: Jul 16, 2008 | Docket: 1385121

Cited 2 times | Published

payment of the letter of credit pursuant to section 675.109(2) of the Florida Statutes, which states: If

Jaffe v. Bank of America, N.A.

674 F. Supp. 2d 1360, 72 U.C.C. Rep. Serv. 2d (West) 618, 2009 U.S. Dist. LEXIS 119984, 2009 WL 4906676

District Court, S.D. Florida | Filed: Dec 16, 2009 | Docket: 2351469

Cited 1 times | Published

a remedy specifically authorized under Florida Statute 675.109(2). BoA further notes that the term "action"