N.Y. Uniform Commercial Code Law § 5-103: Scope

Section 5--103. Scope.

(a) This article applies to letters of credit and to certain rights

and obligations arising out of transactions involving letters of credit.

(b) The statement of a rule in this article does not by itself

require, imply, or negate application of the same or a different rule to

a situation not provided for, or to a person not specified, in this

article.

(c) With the exception of this subsection, subsections (a) and (d) of

this section, paragraphs (9) and (10) of subsection (a) of section

5--102, subsection (d) of section 5--106, and subsection (d) of section

5--114, and except to the extent prohibited in section 1--302 and

subsection (d) of section 5--117, the effect of this article may be

varied by agreement or by a provision stated or incorporated by

reference in an undertaking. A term in an agreement or undertaking

generally excusing liability or generally limiting remedies for failure

to perform obligations is not sufficient to vary obligations prescribed

by this article.

(d) Rights and obligations of an issuer to a beneficiary or a

nominated person under a letter of credit are independent of the

existence, performance, or nonperformance of a contract or arrangement

out of which the letter of credit arises or which underlies it,

including contracts or arrangements between the issuer and the applicant

and between the applicant and the beneficiary.