HRS §490:5-106
When a letter of credit starts, changes, and ends
This section explains when a letter of credit becomes binding, how it can be changed or canceled, and how long it lasts. It covers who must agree to changes and what happens if no expiration date is set. It also sets time limits for perpetual letters of credit.
businessescreditorsdebtors
The statute, as written — Issuance, amendment, cancellation, and duration
(a) A letter of credit is issued and becomes enforceable according to its terms against the issuer when the issuer sends or otherwise transmits it to the person requested to advise or to the beneficiary. A letter of credit is revocable only if it so provides. (b) After a letter of credit is issued, rights and obligations of a beneficiary, applicant, confirmer, and issuer are not affected by an amendment or cancellation to which that person has not consented except to the extent the letter of credit provides that it is revocable or that the issuer may amend or cancel the letter of credit without that consent. (c) If there is no stated expiration date or other provision that determines its duration, a letter of credit expires one year after its stated date of issuance or, if none is stated, after the date on which it is issued. (d) A letter of credit that states that it is perpetual expires five years after its stated date of issuance, or if none is stated, after the date on which it is issued.
LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.