Michigan § 440.5112 - Right to draw or demand performance under letter of credit; transfer.
Full text of Michigan Michigan Compiled Laws § 440.5112 — Right to draw or demand performance under letter of credit; transfer., with citation guidance and answers to common questions.
§ 440.5112. Right to draw or demand performance under letter of credit; transfer.
Except as otherwise provided in section 5113, unless a letter of credit provides that it is transferable, the right of a beneficiary to draw or otherwise demand performance under a letter of credit may not be transferred.
Even if a letter of credit provides that it is transferable, the issuer may refuse to recognize or carry out a transfer if either of the following applies:
The transfer would violate applicable law.
The transferor or transferee has failed to comply with any requirement stated in the letter of credit or any other requirement relating to transfer imposed by the issuer which is within the standard practice referred to in section 5108(5) or is otherwise reasonable under the circumstances.
Source: official Michigan text · Last verified 2026-08-27
Frequently Asked Questions About Michigan § 440.5112
What does Michigan Compiled Laws § 440.5112 cover?
Section 440.5112 ("Right to draw or demand performance under letter of credit; transfer.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Michigan § 440.5112?
A common citation format is "Michigan Compiled Laws § 440.5112" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Michigan law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.
How does Michigan § 440.5112 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.