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Can you summarize MNST 336.4A-507?
UNIFORM COMMERCIAL CODE > CHOICE OF LAW.
Short Summary
This legal document governs the rights and obligations between the sender of a payment order and the receiving bank, the rights and obligations between the beneficiary’s bank and the beneficiary, and the issue of when payment is made in a funds transfer from the originator to the beneficiary. Unless otherwise agreed or specified, the law of the jurisdiction where the receiving bank is located governs the rights and obligations between the sender and the receiving bank, the law of the jurisdiction where the beneficiary’s bank is located governs the rights and obligations between the beneficiary’s bank and the beneficiary, and the law of the jurisdiction where the beneficiary’s bank is located determines when payment is made in a funds transfer. If the parties have made an agreement selecting the law of a particular jurisdiction, that law governs their rights and obligations, regardless of the payment order or funds transfer’s relation to that jurisdiction. A funds-transfer system rule may also select the law of a particular jurisdiction to govern the rights and obligations between participating banks or the rights and obligations of parties involved in a funds transfer carried out through the system. In case of inconsistency between an agreement and a choice-of-law rule, the agreement prevails. If a funds transfer is made using multiple systems with inconsistent choice-of-law rules, the law of the selected jurisdiction having the most significant relationship to the matter in issue governs.
Whom does it apply to?
Parties involved in payment orders and funds transfers
What does it govern?
Rights and obligations between the sender of a payment order and the receiving bank, rights and obligations between the beneficiary's bank and the beneficiary, issue of when payment is made pursuant to a funds transfer by the originator to the beneficiary
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota