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Funds Transfer Security Procedures – An Update on What Commercially Reasonable Means


Date 11:20 AM - 12:10 PM (0 hours 50 minutes)
Tuesday, April 18
Compliance & Regulatory

Who bears the risk of a fraudulent or unauthorized funds transfers arising from a business email compromise, stolen user credentials, and/or employee/business partner theft?  Article 4A of the Uniform Commercial Code (UCC) provides a risk-shifting mechanism (security procedures) if such security procedures are commercially reasonable.  But what does "commercially reasonable" really mean?  This course reviews the UCC language and looks at recent court cases interpreting the meaning of the UCC language and explores application of what "commercially reasonable" means in the ever-changing technological landscape used to authenticate and verify a funds transfer.