Tex. Bus. & Com. Code § 5.103 · Chapter 5. LETTERS OF CREDIT
SCOPE.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) This chapter 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 chapter 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 chapter.
(c) With the exception of this subsection, Subsections (a) and (d), Sections 5.102(a)(9) and (10), Section 5.106(d), Section 5.110(c), and Section 5.114(d) and except to the extent prohibited in Sections 1.302 and 5.117(d), the effect of this chapter 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 chapter.
(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.
Notes and commentary — not statutory text
History
Amended by Acts 1999, 76th Leg., ch. 4, Sec. 1, eff. Sept. 1, 1999; Acts 2003, 78th Leg., ch. 542, Sec. 17, eff. Sept. 1, 2003.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/BC/htm/BC.5.htm
- Text hash
- sha256 33aaf8dd9dcfadae075b7f2eb4541dee8296aeaf8d621311fddcd495adb35030
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Business & Commerce Code
- Tex. Bus. & Com. Code § 1.302VARIATION BY AGREEMENT.Printed as Sections 1.302 and 5.117(d)
- Tex. Bus. & Com. Code § 5.102DEFINITIONS.Printed as Sections 5.102(a)(9)
- Tex. Bus. & Com. Code § 5.106ISSUANCE, AMENDMENT, CANCELLATION, AND DURATION.Printed as Section 5.106(d)
- Tex. Bus. & Com. Code § 5.110WARRANTIES.Printed as Section 5.110(c)
- Tex. Bus. & Com. Code § 5.114ASSIGNMENT OF PROCEEDS.Printed as Section 5.114(d)
- Tex. Bus. & Com. Code § 5.117SUBROGATION OF ISSUER, APPLICANT, AND NOMINATED PERSON.Printed as Sections 1.302 and 5.117(d)
Cited by 1 provision
Provisions in this library whose text cites Tex. Bus. & Com. Code § 5.103. Each shows the citation as that text prints it.
Business & Commerce Code
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