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Can you summarize NHRS 382-A:4A-207?
UNIFORM COMMERCIAL CODE > Misdescription of Beneficiary.
Short Summary
This legal document, part of the New Hampshire Revised Statutes under the Uniform Commercial Code, governs the treatment of beneficiaries in payment orders received by the beneficiary’s bank. It establishes rules for the identification and payment of beneficiaries based on their name, bank account number, or other identification. If the beneficiary’s bank receives a payment order with a nonexistent or unidentifiable beneficiary, no person has rights as a beneficiary, and acceptance of the order cannot occur. If the payment order identifies the beneficiary by both name and an identifying or bank account number, and they refer to different persons, the beneficiary’s bank may rely on the number as the proper identification of the beneficiary, unless it knows that the name and number identify different persons. If the beneficiary’s bank pays the person identified by name or knows that the name and number identify different persons, no person has rights as a beneficiary except the person paid by the beneficiary’s bank if they were entitled to receive payment from the originator of the funds transfer. The document also addresses the obligations of the originator and the originator’s bank in cases where the payment order is accepted despite inconsistent identification of the beneficiary. No specific exemptions or penalties are mentioned in this document.
Whom does it apply to?
Beneficiaries, beneficiary's bank, and originators of payment orders
What does it govern?
Payment orders and beneficiaries in commercial transactions
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
New Hampshire