Sun Marine Terminals, Inc. v. Artoc Bank & Trust, Ltd.

OPINION

HECHT, Justice.

The issue in this case is whether thé beneficiary of a letter of credit wrongfully obtained payment upon that credit by making statements in documents presented to the issuer that were false. The dispute centers upon the warranty provided by section 5.111(a) of the Uniform Commercial Code (“the UCC”), Tex.Bus. & Com.Code § 5.111(a). 1 The trial court granted summary judgment for the beneficiary. The court of appeals reversed and rendered judgment for the issuer. 760 S.W.2d 311. We reverse the judgment of the court of appeals and affirm the judgment of the trial court.

I

Sun…