Oregon Statutes - Chapter 75 - Letters of Credit - Section 75.1160 - Choice of law and forum.

(1) The liability of an issuer, nominated person or adviser for action or omission is governed by the law of the jurisdiction chosen by an agreement in the form of a record signed or otherwise authenticated by the affected parties in the manner provided in ORS 75.1040 or by a provision in the personís letter of credit, confirmation or other undertaking. The jurisdiction whose law is chosen need not bear any relation to the transaction.

(2) Unless subsection (1) of this section applies, the liability of an issuer, nominated person or adviser for action or omission is governed by the law of the jurisdiction in which the person is located. The person is considered to be located at the address indicated in the personís undertaking. If more than one address is indicated, the person is considered to be located at the address from which the personís undertaking was issued. For the purpose of jurisdiction, choice of law and recognition of interbranch letters of credit, but not enforcement of a judgment, all branches of a bank are considered separate juridical entities and a bank is considered to be located at the place where its relevant branch is considered to be located under this subsection.

(3)(a) Except as provided in this subsection, the liability of an issuer, nominated person or adviser is governed by any rules of custom or practice, such as the Uniform Customs and Practice for Documentary Credits, to which the letter of credit, confirmation or other undertaking is expressly made subject.

(b) Except to the extent of any conflict with the nonvariable provisions specified in ORS 75.1030 (3), rules of custom or practice govern if:

(A) This chapter would govern the liability of an issuer, nominated person or adviser under subsection (1) or (2) of this section;

(B) The relevant undertaking incorporates rules of custom or practice; and

(C) There is conflict between this chapter and those rules as applied to that undertaking.

(4) If there is conflict between this chapter and ORS chapters 73, 74, 74A or 79, this chapter governs.

(5) The forum for settling disputes arising out of an undertaking under this chapter may be chosen in the manner and with the binding effect that governing law may be chosen in accordance with subsection (1) of this section. [1961 c.726 §75.1160; 1973 c.504 §4; 1997 c.150 §19]

Section:  Previous  75.1040  75.1050  75.1060  75.1070  75.1080  75.1090  75.1100  75.1110  75.1120  75.1130  75.1140  75.1150  75.1160  75.1170  75.1180  Next

Last modified: August 7, 2008