Florida/Georgia Personal Injury & Workers Compensation

...rried out without the consent of Griferia. § 675.106(2), Fla. Stat. (1981). Further, Intercontinental was obligated to deal with Braun in good faith, but was not responsible for the performance of the underlying contract between Braun and Griferia. § 675.109(1)(a), Fla....

...All the documents required to be presented pursuant to the terms of the letter of credit were received by Intercontinental. On their face, the documents indicated that they were properly and timely presented as required in the letter of credit. See § 675.109(2), Fla....

...The independence of the letter of credit is well established. It is a fundamental principle of commercial transactions that a letter of credit is an undertaking solely of the issuing bank to the beneficiary; it is independent of the obligations of the issuing bank and the account party. See Fla.Stat. § 675.109....

...ts and making proper demand on the issuer. See International Chamber of Commerce, Publication No. 400, Uniform Customs and Practice for Documentary Credits, art. 2 (1983) [hereinafter Uniform Customs and Practice ] [7] ; see also §§ 675.103(1)(a), 675.109, Fla....

...of credit itself which is an agreement between the bank and the beneficiary. See Cargill, Inc. v. Sunlight Foods, Inc., 586 So.2d 366 (Fla. 3d DCA 1991); Braun v. Intercontinental Bank, 466 So.2d 1130 (Fla. 3d DCA 1985); see also §§ 675.103(1)(a), 675.109, Fla....

...is entirely independent and unrelated to the underlying transaction between the beneficiary" and the customer who requested issuance of the letter from the bank. [8] Fidelity Nat'l Bank v. Dade County, 371 So.2d 545, 548 (Fla. 3d DCA 1979); see also § 675.109(1)(a), Fla....

...ively by the terms of the letter, not the terms of the parties' contract with each other." 371 So.2d at 548 (quoting Courtaulds North Am., Inc. v. North Carolina Nat'l Bank, 528 F.2d 802, 805 (4th Cir.1975)). As a corollary to the independence rule, section 675.109(1)(b), Florida Statutes (1993), also provides in pertinent part that an issuer is not responsible "for any act or omission of any person other than itself or its own branch." [10] The independence rule and the other principles previou...

...hich the letter of credit, confirmation, or other undertaking is expressly made subject." [7] The provisions of this article are quoted in note 1, supra. [8] The reason for this rule is explained in a comment to section 5-109(1)(a) of the UCC and to section 675.109(1)(a), Florida Statutes: Paragraph (a) rests on the assumptions that the issuer has had no control over the making of the underlying contract or over the selection of the beneficiary, and that the issuer receives compensation for a payment service rather than for a guaranty of performance....

...The customer will normally have direct recourse against the beneficiary if performance fails, whereas the issuer will have such recourse only by assignment of or in a proper case subrogation to the rights of the customer. U.C.C. § 5-109 cmt. 1 (1991);19B Fla. Stat. Ann. 388(1993). The provisions of section 675.109(1)(a), Florida Statutes (1993), are now found in section 675.108(6)(a), Florida Statutes (1999)....

...The bank's obligation to its customer [Sunlight] "unless otherwise agreed does not include liability or responsibility ... [f]or performance of the underlying contract ... or other transaction between the customer [Sunlight] and the beneficiary [Cargill]... ." § 675.109(1)(a), Fla....

...heir face they appear to comply with the terms of the credit but unless otherwise agreed assumes no liability or responsibility for the genuineness, falsification or effect of any document which appears on such examination to be regular on its face. § 675.109(2), Fla....

...Superintendencia filed an action against Intrinsic in Guatemala, the forum selected in the parties' agreement. The Guatemala court issued an injunction barring Banco de Guatemala from paying on the letters of credit. Subsequently, in Florida, Superintendencia brought an action pursuant to section 675.109(2), Florida Statutes (2001)to prevent First Union and Barclays from honoring the letter of credit....

...In support of its request for a temporary injunction, Superintendencia presented two bases for the injunction: presentment would result in a material fraud; and comity militated in favor of the injunction. The temporary injunction was properly entered on those bases. Section 675.109(2) provides: (2) If an applicant claims that a required document is forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant, a court of competen...

...First Nat'l Bank of Boston, 730 F.2d 19 (1st Cir.1984); Rockwell Int'l Sys. v. Citibank, N.A., 719 F.2d 583 (2d Cir.1983); Touche Ross & Co. v. Manufacturers Hanover Trust Co., 107 Misc.2d 438, 434 N.Y.S.2d 575 (Sup.Ct.1980). The Uniform Commercial Code Comment to section 675.109 addresses the propriety of awarding an injunction under the factual scenario in this case....

...Thus, the facts demonstrate the possibility of a "`fraud' so serious as to make it obviously pointless and *619 unjust to permit the beneficiary to obtain the money." U.C.C. § 5-109 (1999) cmt. 1 (quoting Ground Air Transfer, Inc. v. Westates Airlines, Inc., 899 F.2d 1269, 1272-73 (1st Cir.1990)). Under this scenario, section 675.109 contemplates the issuance of an injunction....

...pletion of construction 2,475.77 Balance for expenses for cost of equipping and renting the project subsequent to completion and other expenses for escrow accounts under terms of FHA Regulations on Working Capital 17,956.60 __________ $55,790.00 [3] Section 675.109(2), F.S....

...placed upon V Ventures, Lennar was not in default under the Option Contract. As such, Lennar contends that V Ventures falsely certified that Lennar was in default and seeks injunctive relief to enjoin the payment of the letter of credit pursuant to section 675.109(2) of the Florida Statutes, which states: If an applicant claims that a required document is forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or appli...

...graph (1)(a). We find that Lennar has failed to demonstrate that V Ventures' presentation letter was "forged or materially fraudulent or that honor of the presentation would facilitate a material fraud by the beneficiary on the issuer or applicant." § 675.109(2), Fla....

...ing trade and commerce. Therefore, the trial court did not abuse its discretion in denying Lennar's motion to grant the injunction. It cannot be said that Lennar "is more likely than not to succeed under its claim of forgery or material fraud" under section 675.109(2) of the Florida Statutes....

...remedy is otherwise outside of Section 5-111. Fla. Stat. § 675.111(5), cmt. 6. BoA notes that Plaintiffs sought an injunction to prevent BoA from paying ABC under the letter of credit, which is a remedy specifically authorized under Florida Statute 675.109(2)....

...o longer defending an action for injunctive relief against BoA. Neither argument is persuasive, as Plaintiffs' representation of the record is simply incorrect. Plaintiffs' first complaint stated: "This is an action for injunctive relief pursuant to § 675.109(2), Florida Statutes." (DE #1)....