Official Code of Georgia Annotated

Title 11. COMMERCIAL CODE · Chapter 4A. · Article 4A. FUNDS TRANSFERS · Part 2. ISSUE AND ACCEPTANCE OF PAYMENT ORDER

11-4A-201. Security procedure.

Active

Current through: Including Acts of the 2025 Regular Session of the General Assembly.

“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 canceling 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 impose an obligation on the receiving bank or the customer and may require the use of algorithms or other codes, identifying words, numbers, symbols, sounds, biometrics, 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 or requiring a payment order to be sent from a known email address, IP address, or telephone number is not by itself a security procedure.

The notes below are printed with the section but are not enacted law (O.C.G.A. § 1-1-1(c)). They are shown apart from the text.

History

Code 1981, § 11-4A-201, enacted by Ga. L. 1992, p. 2685, § 4; Ga. L. 2024, p. 817, § 5-25/HB 1240, effective July 1, 2024.

Amendments

The 2024 amendment, effective July 1, 2024, in the second sentence, inserted “may impose an obligation on the receiving bank or the customer and” and substituted “words, numbers, symbols, sounds, biometrics,” for “words, or numbers,”; and inserted “or requiring a payment order to be sent from a known email address, IP address, or telephone number” in the last sentence.

Editor's notes

Ga. L. 2024, p. 817, § 1-1/HB 1240, not codified by the General Assembly, provides: “This Act shall be known and may be cited as the ‘Uniform Commercial Code Modernization Act of 2024.’” Ga. L. 2024, p. 817, § 1-2/HB 1240, not codified by the General Assembly, provides: “Nothing in this Act shall be construed to support, endorse, create, or implement a national digital currency.”

Read the official page (the state's PDF, opened at the page this text was read from).

Current through: Including Acts of the 2025 Regular Session of the General Assembly.

Text read from t11-(v9)-pdf.pdf, Volume V9, 2022 edition, 2025 supplement, pages 46 to 47; merge action: replaced; file SHA-256 df9393c4ba3b.