Nevada Commercial Instruments and Transactions
Sec. § 104A.4201
Security procedure.


1.

Security procedure means a procedure established by agreement of a customer and a receiving bank to:

(a)

Verify that a payment order or communication amending or cancelling a payment order is that of the customer; or

(b)

Detect error in the transmission or the content of the payment order or communication.

2.

A security procedure may require the use of algorithms or other codes, identifying words or numbers, encryption, callback procedures or similar security devices.

3.

Comparison of a signature on a payment order or communication with an authorized specimen signature of the customer is not by itself a security procedure.
Source
Last accessed
Jul. 16, 2019