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New Jersey Statutes, Title: 12A, COMMERCIAL TRANSACTIONS

    Chapter 4a:

      Section: 12A:4a-201: Security procedure

           12A:4A-201. Security procedure.



"Security procedure" means a procedure established by agreement of a customer and a receiving bank for the purpose of (i) verifying that a payment order or communication amending or cancelling a payment order is that of the customer, or (ii) detecting error in the transmission or the content of the payment order or communication. A security procedure may require the use of algorithms or other codes, identifying words or numbers, encryption, callback procedures, or similar security devices. Comparison of a signature on a payment order or communication with an authorized specimen signature of the customer is not by itself a security procedure.

L.1994,c.114,s.2.



This section added to the Rutgers Database: 2013-06-10 16:36:30.






Older versions of 12a:4a-201 (if available):



Court decisions that cite this statute: CLICK HERE.