The Tricky Role Of UCC “Good Faith” Provisions

LexisNexis (June 9, 2022, 8:23 AM EDT) -- A recurrent problem in bank deposit and collection and lending disputes is the appropriate role of “good faith” as an overarching principle in lender liability cases. Oftentimes, plaintiffs will look to the UCC as the statutory source for an independent duty of good faith, usually framed as the “implied duty of good faith and fair dealings” under tort law. This can lead to problems....