{"data":{"id":"us-ky/krs-355.12-107","jurisdiction":"us-ky","citation":"KRS 355.12-107","heading":"Governing law.","body":"(1) Except as provided in subsection (2) of this section, the local law of a controllable\nelectronic record's jurisdiction governs the matters covered by this article.\n(2) For a controllable electronic record that evidences a controllable account or\ncontrollable payment intangible, the local law of the controllable electronic record's\njurisdiction governs a matter covered by KRS 355.12 -106 unless an effective\nagreement determines that the local law of another jurisdiction governs.\n(3) The following rules determ ine a controllable electronic record's jurisdiction under\nthis section:\n(a) If the controllable electronic record, or a record attached to or logically\nassociated with the controllable electronic record and readily available for\nreview, expressly provides that a particular jurisdiction is the controllable\nelectronic record's jurisdiction for purposes of this article or chapter, that\njurisdiction is the controllable electronic record's jurisdiction;\n(b) If paragraph (a) of this subsection does not apply and the rules of the system\nin which the controllable electronic record is recorded are readily available for\nreview and expressly provide that a particular jurisdiction is the controllable\nelectronic record's jurisdiction for purposes of this article or this chapter, that\njurisdiction is the controllable electronic record's jurisdiction;\n(c) If paragraphs (a) and (b) of this subsection do not apply and the controllable\nelectronic record, or a record attached to or logically associated with the\ncontrollable ele ctronic record and readily available for review, expressly\nprovides that the controllable electronic record is governed by the law of a\nparticular jurisdiction, that jurisdiction is the controllable electronic record's\njurisdiction;\n(d) If paragraphs (a), (b), and (c) of this subsection do not apply and the rules of\nthe system in which the controllable electronic record is recorded are readily\navailable for review and expressly provide that the controllable electronic\nrecord or the system is governed by the  law of a particular jurisdiction, that\njurisdiction is the controllable electronic record's jurisdiction; and\n(e) If paragraphs (a) to (d) of this subsection do not apply, the controllable\nelectronic record's jurisdiction is the District of Columbia.\n(4) (a) If subsection (3)(e) of this section applies and Article 12 is not in effect in the\nDistrict of Columbia without material modification, the governing law for a\nmatter covered by this article is the law of the District of Columbia as though\nArticle 12 w ere in effect in the District of Columbia without material\nmodification.\n(b) In this subsection, \"Article 12\" means Article 12 of the Uniform Commercial\nCode Amendments (2022).\n(5) To the extent subsections (1) and (2) of this section provide that the local law of the\ncontrollable electronic record's jurisdiction governs a matter c overed by this article,\nthat law governs even if the matter or a transaction to which the matter relates does\nnot bear any relation to the controllable electronic record's jurisdiction.\n(6) The rights acquired under KRS 355.12 -104 by a purchaser or qualify ing purchaser\nare governed by the law applicable under this section at the time of purchase.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=55724","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:58:49Z","sha256":"ada29e560a5baf4881c2969f3fbc479caa4fb274c801b7748d5c788f5e2f7e7b","source_id":"us-ky","stale":false,"prev":"us-ky/krs-355.12-106","next":"us-ky/krs-355.2-101"},"notice":"GroundRules: Original legal text. Not legal advice."}