§489E-10 - Effect of change or error.
[§489E-10] Effect of change or error.
If a change or error in an electronic record occurs in a transmission between
parties to a transaction, the following rules shall apply:
(1) If the parties have agreed to use a security
procedure to detect changes or errors and one party has conformed to the
procedure, but the other party has not, and the nonconforming party would have
detected the change or error had that party also conformed, the conforming
party may elect to avoid the effect of the changed or erroneous electronic
record;
(2) In an automated transaction involving an
individual, the individual may elect to avoid the effect of an electronic
record that resulted from an error made by the individual in dealing with the
electronic agent of another person if the electronic agent did not provide an
opportunity for the prevention or correction of the error and, at the time the
individual learns of the error, the individual:
(A) Promptly notifies the other person of the
error and that the individual did not intend to be bound by the electronic
record received by the other person;
(B) Takes reasonable steps, including steps
that conform to the other person's reasonable instructions, to return to the
other person or, if instructed by the other person, to destroy the
consideration received, if any, as a result of the erroneous electronic record;
and
(C) Has not used or received any benefit or
value from the consideration, if any, received from the other person;
(3) If neither paragraph (1) nor paragraph (2)
applies, the change or error has the effect provided by other law, including
the law of mistake, and the parties' contract, if any; and
(4) Paragraphs (2) and (3) shall not be varied by
agreement. [L 2000, c 282, pt of §1]