N.Y. Banking Law § 680-c: Variation by agreement or amendment

§ 680-c. Variation by agreement or amendment. 1. The effect of this

section and sections six hundred eighty-a, six hundred eighty-b, six

hundred eighty-d, six hundred eighty-e, six hundred eighty-g, six

hundred eighty-h, six hundred eighty-i, six hundred eighty-j and six

hundred eighty-m of this article shall not be varied by agreement,

except as provided in such sections. Subject to subdivision two of this

section, the effect of sections six hundred eighty-f, six hundred

eighty-k and six hundred eighty-l of this article may be varied by

agreement.

2. A provision in an account agreement or other record that

substantially excuses liability or substantially limits remedies for

failure to perform an obligation under this article is not sufficient to

vary the effect of a provision of this article.

3. If a beneficiary is a party to an account agreement, the bank and

the depositor may amend the agreement without the consent of the

beneficiary only if the agreement expressly permits the amendment.

4. If a beneficiary is not a party to an account agreement and the

bank and the depositor know the beneficiary has knowledge of the

agreement's terms, the bank and the depositor may amend the agreement

without the consent of the beneficiary only if the amendment does not

adversely and materially affect a payment right of the beneficiary.

5. If a beneficiary is not a party to an account agreement and the

bank and the depositor do not know whether the beneficiary has knowledge

of the agreement's terms, the bank and the depositor may amend the

agreement without the consent of the beneficiary only if the amendment

is made in good faith.