A. The following apply to any change or error in an electronic record that occurs in a transmission between the parties to a transaction:

Terms Used In Arizona Laws 44-7010

  • Automated transaction: means a transaction that is conducted or performed, in whole or in part, by electronic means or electronic records and in which the acts or records of one or both parties are not reviewed by an individual in the ordinary course in forming a contract, performing under an existing contract or fulfilling an obligation that is required by the transaction. See Arizona Laws 44-7002
  • Electronic: means relating to technology that has electrical, digital, magnetic, wireless, optical or electromagnetic capabilities or similar capabilities. See Arizona Laws 44-7002
  • Electronic agent: means a computer program or an electronic or other automated means that is used independently to initiate an action or respond to electronic records or performances, in whole or in part, without review or action by an individual. See Arizona Laws 44-7002
  • Electronic record: means a record that is created, generated, sent, communicated, received or stored by electronic means. See Arizona Laws 44-7002
  • including: means not limited to and is not a term of exclusion. See Arizona Laws 1-215
  • Person: means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, governmental agency or public corporation or any other legal or commercial entity. See Arizona Laws 44-7002
  • Record: means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and that is retrievable in perceivable form. See Arizona Laws 44-7002
  • Security procedure: means a procedure that is employed to verify that an electronic signature, record or performance is that of a specific person or to detect changes or errors in the information in an electronic record. See Arizona Laws 44-7002
  • Transaction: means an action or set of actions occurring between two or more persons relating to the conduct of business, commercial or governmental affairs. See Arizona Laws 44-7002

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 avoid the effect of the changed or erroneous electronic record.

2. In an automated transaction that involves an individual, the individual may 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.

(c) Has not used or received any benefit or value from the consideration, if any, received from the other person.

B. If subsection A, paragraphs 1 and 2 do not apply, the change or error has the effect provided by other applicable law, including the law of mistake, and the parties’ contract, if any.

C. The parties to the transaction shall not agree to vary the requirements prescribed in subsection A, paragraph 2 and subsection B.

 

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