{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/8.12-105.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/8.12-105.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/8.12-105.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/8.12-105.html"}],"law_id":53978,"edition_id":1,"section_id":53978,"structure_id":12822,"section_number":"8.12-105","catch_line":"Control of controllable electronic record","history":"2024, c. 652.","full_text":"a\n\nGeneral rule: control of controllable electronic record. A person has control of a controllable electronic record if the electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded:1\n\ngives the person:A\n\npower to avail itself of substantially all the benefit from the electronic record; andB\n\nexclusive power, subject to subsection (b), to:i\n\nprevent others from availing themselves of substantially all the benefit from the electronic record; andii\n\ntransfer control of the electronic record to another person or cause another person to obtain control of another controllable electronic record as a result of the transfer of the electronic record; and2\n\nenables the person readily to identify itself in any way, including by name, identifying number, cryptographic key, office, or account number, as having the powers specified in paragraph (1).b\n\nMeaning of exclusive. Subject to subsection (c), a power is exclusive under subsection (a)(1)(B)(i) and (ii) even if:1\n\nthe controllable electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded limits the use of the electronic record or has a protocol programmed to cause a change, including a transfer or loss of control or a modification of benefits afforded by the electronic record; or2\n\nthe power is shared with another person.c\n\nWhen power not shared with another person. A power of a person is not shared with another person under subsection (b)(2) and the person’s power is not exclusive if:1\n\nthe person can exercise the power only if the power also is exercised by the other person; and2\n\nthe other person:A\n\ncan exercise the power without exercise of the power by the person; orB\n\nis the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record.d\n\nPresumption of exclusivity of certain powers. If a person has the powers specified in subsection (a)(1)(B)(i) and (ii), the powers are presumed to be exclusive.e\n\nControl through another person. A person has control of a controllable electronic record if another person, other than the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record:1\n\nhas control of the electronic record and acknowledges that it has control on behalf of the person; or2\n\nobtains control of the electronic record after having acknowledged that it will obtain control of the electronic record on behalf of the person.f\n\nNo requirement to acknowledge. A person that has control under this section is not required to acknowledge that it has control on behalf of another person.g\n\nNo duties or confirmation. If a person acknowledges that it has or will obtain control on behalf of another person, unless the person otherwise agrees or law other than this article or Article 9 otherwise provides, the person does not owe any duty to the other person and is not required to confirm the acknowledgment to any other person.","order_by":null,"text":{"0":{"id":198216,"text":"General rule: control of controllable electronic record. A person has control of a controllable electronic record if the electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded:","type":"section","prefixes":["a"],"prefix":"a","entire_prefix":"a","prefix_anchor":"a","level":1,"next_prefix":"a1"},"1":{"id":198217,"text":"gives the person:","type":"section","prefixes":["a","1"],"prefix":"1","entire_prefix":"a1","prefix_anchor":"a1","level":2,"prior_prefix":"a","next_prefix":"A"},"2":{"id":198218,"text":"power to avail itself of substantially all the benefit from the electronic record; and","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"prior_prefix":"a1","next_prefix":"B"},"3":{"id":198219,"text":"exclusive power, subject to subsection (b), to:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"i"},"4":{"id":198220,"text":"prevent others from availing themselves of substantially all the benefit from the electronic record; and","type":"section","prefixes":["i"],"prefix":"i","entire_prefix":"i","prefix_anchor":"i","level":1,"prior_prefix":"B","next_prefix":"iii"},"5":{"id":198221,"text":"transfer control of the electronic record to another person or cause another person to obtain control of another controllable electronic record as a result of the transfer of the electronic record; and","type":"section","prefixes":["i","ii"],"prefix":"ii","entire_prefix":"iii","prefix_anchor":"iii","level":2,"prior_prefix":"i","next_prefix":"i2"},"6":{"id":198222,"text":"enables the person readily to identify itself in any way, including by name, identifying number, cryptographic key, office, or account number, as having the powers specified in paragraph (1).","type":"section","prefixes":["i","2"],"prefix":"2","entire_prefix":"i2","prefix_anchor":"i2","level":2,"prior_prefix":"iii","next_prefix":"b"},"7":{"id":198223,"text":"Meaning of exclusive. Subject to subsection (c), a power is exclusive under subsection (a)(1)(B)(i) and (ii) even if:","type":"section","prefixes":["b"],"prefix":"b","entire_prefix":"b","prefix_anchor":"b","level":1,"prior_prefix":"i2","next_prefix":"b1"},"8":{"id":198224,"text":"the controllable electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded limits the use of the electronic record or has a protocol programmed to cause a change, including a transfer or loss of control or a modification of benefits afforded by the electronic record; or","type":"section","prefixes":["b","1"],"prefix":"1","entire_prefix":"b1","prefix_anchor":"b1","level":2,"prior_prefix":"b","next_prefix":"b2"},"9":{"id":198225,"text":"the power is shared with another person.","type":"section","prefixes":["b","2"],"prefix":"2","entire_prefix":"b2","prefix_anchor":"b2","level":2,"prior_prefix":"b1","next_prefix":"c"},"10":{"id":198226,"text":"When power not shared with another person. A power of a person is not shared with another person under subsection (b)(2) and the person’s power is not exclusive if:","type":"section","prefixes":["c"],"prefix":"c","entire_prefix":"c","prefix_anchor":"c","level":1,"prior_prefix":"b2","next_prefix":"c1"},"11":{"id":198227,"text":"the person can exercise the power only if the power also is exercised by the other person; and","type":"section","prefixes":["c","1"],"prefix":"1","entire_prefix":"c1","prefix_anchor":"c1","level":2,"prior_prefix":"c","next_prefix":"c2"},"12":{"id":198228,"text":"the other person:","type":"section","prefixes":["c","2"],"prefix":"2","entire_prefix":"c2","prefix_anchor":"c2","level":2,"prior_prefix":"c1","next_prefix":"A"},"13":{"id":198229,"text":"can exercise the power without exercise of the power by the person; or","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"prior_prefix":"c2","next_prefix":"B"},"14":{"id":198230,"text":"is the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"d"},"15":{"id":198231,"text":"Presumption of exclusivity of certain powers. If a person has the powers specified in subsection (a)(1)(B)(i) and (ii), the powers are presumed to be exclusive.","type":"section","prefixes":["d"],"prefix":"d","entire_prefix":"d","prefix_anchor":"d","level":1,"prior_prefix":"B","next_prefix":"e"},"16":{"id":198232,"text":"Control through another person. A person has control of a controllable electronic record if another person, other than the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record:","type":"section","prefixes":["e"],"prefix":"e","entire_prefix":"e","prefix_anchor":"e","level":1,"prior_prefix":"d","next_prefix":"e1"},"17":{"id":198233,"text":"has control of the electronic record and acknowledges that it has control on behalf of the person; or","type":"section","prefixes":["e","1"],"prefix":"1","entire_prefix":"e1","prefix_anchor":"e1","level":2,"prior_prefix":"e","next_prefix":"e2"},"18":{"id":198234,"text":"obtains control of the electronic record after having acknowledged that it will obtain control of the electronic record on behalf of the person.","type":"section","prefixes":["e","2"],"prefix":"2","entire_prefix":"e2","prefix_anchor":"e2","level":2,"prior_prefix":"e1","next_prefix":"f"},"19":{"id":198235,"text":"No requirement to acknowledge. A person that has control under this section is not required to acknowledge that it has control on behalf of another person.","type":"section","prefixes":["f"],"prefix":"f","entire_prefix":"f","prefix_anchor":"f","level":1,"prior_prefix":"e2","next_prefix":"g"},"20":{"id":198236,"text":"No duties or confirmation. If a person acknowledges that it has or will obtain control on behalf of another person, unless the person otherwise agrees or law other than this article or Article 9 otherwise provides, the person does not owe any duty to the other person and is not required to confirm the acknowledgment to any other person.","type":"section","prefixes":["g"],"prefix":"g","entire_prefix":"g","prefix_anchor":"g","level":1,"prior_prefix":"f"}},"ancestry":[{"id":12822,"edition_id":1,"name":"Controllable Electronic Records","identifier":"8.12","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:55","date_modified":"2026-06-26 03:43:55","permalink":{"id":281747,"object_type":"structure","relational_id":12822,"identifier":"8.12","token":"8.12","url":"\/8.12\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":80508,"structure_id":12822,"section_number":"8.12-101","catch_line":"Title","url":"\/8.12-101\/","token":"8.12\/8.12-101","metadata":false},{"id":67134,"structure_id":12822,"section_number":"8.12-102","catch_line":"Definitions","url":"\/8.12-102\/","token":"8.12\/8.12-102","metadata":false},{"id":72693,"structure_id":12822,"section_number":"8.12-103","catch_line":"Relation to Article 9 and consumer laws","url":"\/8.12-103\/","token":"8.12\/8.12-103","metadata":{"court_decisions":""}},{"id":70284,"structure_id":12822,"section_number":"8.12-104","catch_line":"Rights in controllable account, controllable electronic record, and controllable payment intangible.","url":"\/8.12-104\/","token":"8.12\/8.12-104","metadata":{"court_decisions":""}},{"id":53978,"structure_id":12822,"section_number":"8.12-105","catch_line":"Control of controllable electronic record","url":"\/8.12-105\/","token":"8.12\/8.12-105","metadata":false},{"id":56311,"structure_id":12822,"section_number":"8.12-106","catch_line":"Discharge of account debtor on controllable account or controllable payment intangible","url":"\/8.12-106\/","token":"8.12\/8.12-106","metadata":false},{"id":70196,"structure_id":12822,"section_number":"8.12-107","catch_line":"Governing law","url":"\/8.12-107\/","token":"8.12\/8.12-107","metadata":{"court_decisions":""}}],"previous_section":{"id":70284,"structure_id":12822,"section_number":"8.12-104","catch_line":"Rights in controllable account, controllable electronic record, and controllable payment intangible.","url":"\/8.12-104\/","token":"8.12\/8.12-104","metadata":{"court_decisions":""}},"next_section":{"id":56311,"structure_id":12822,"section_number":"8.12-106","catch_line":"Discharge of account debtor on controllable account or controllable payment intangible","url":"\/8.12-106\/","token":"8.12\/8.12-106","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/8.12-105\/","history_text":"

This law was first created in 2024. The record of its establishment is cataloged in chapter 652<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":[{"id":67134,"section_number":"8.12-102","catch_line":"Definitions","order_by":null,"url":"\/8.12-102\/"},{"id":58431,"section_number":"8.9A-102","catch_line":"Definitions and index of definitions","order_by":null,"url":"\/8.9A-102\/"},{"id":76599,"section_number":"8.9A-107.1","catch_line":"Control of controllable electronic record, controllable account, or controllable payment intangible","order_by":null,"url":"\/8.9A-107.1\/"},{"id":64267,"section_number":"8.9A-208","catch_line":"Additional duties of secured party having control of collateral","order_by":null,"url":"\/8.9A-208\/"}],"refers_to":false,"permalink":{"id":281765,"object_type":"law","relational_id":53978,"identifier":"8.12-105","token":"8.12\/8.12-105","url":"\/8.12-105\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/8.12-105\/","token":"8.12\/8.12-105","dublin_core":{"Title":"Control of controllable electronic record","Type":"Text","Format":"text\/html","Identifier":"\u00a7 8.12-105","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

a.<\/span> General rule: control of controllable electronic record. A person has control of a controllable electronic record if the electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> gives the person: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

A.<\/span> power to avail itself of substantially all the benefit from the electronic record; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> exclusive power, subject to subsection (b), to: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

i.<\/span> prevent others from availing themselves of substantially all the benefit from the electronic record; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

ii.<\/span> transfer control of the electronic record to another person or cause another person to obtain control of another controllable electronic record as a result of the transfer of the electronic record; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> enables the person readily to identify itself in any way, including by name, identifying number, cryptographic key, office, or account number, as having the powers specified in paragraph (1). <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

b.<\/span> Meaning of exclusive. Subject to subsection (c), a power is exclusive under subsection (a)(1)(B)(i) and (ii) even if: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> the controllable electronic record, a record attached to or logically associated with the electronic record, or a system in which the electronic record is recorded limits the use of the electronic record or has a protocol programmed to cause a change, including a transfer or loss of control or a modification of benefits afforded by the electronic record; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> the power is shared with another person. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

c.<\/span> When power not shared with another person. A power of a person is not shared with another person under subsection (b)(2) and the person’s power is not exclusive if: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> the person can exercise the power only if the power also is exercised by the other person; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> the other person: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

A.<\/span> can exercise the power without exercise of the power by the person; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> is the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

d.<\/span> Presumption<\/span> of exclusivity of certain powers. If a person has the powers specified in subsection (a)(1)(B)(i) and (ii), the powers are presumed to be exclusive. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

e.<\/span> Control through another person. A person has control of a controllable electronic record if another person, other than the transferor to the person of an interest in the controllable electronic record or a controllable account or controllable payment intangible evidenced by the controllable electronic record: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> has control of the electronic record and acknowledges that it has control on behalf of the person; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> obtains control of the electronic record after having acknowledged that it will obtain control of the electronic record on behalf of the person. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

f.<\/span> No requirement to acknowledge. A person that has control under this section is not required to acknowledge that it has control on behalf of another person. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

g.<\/span> No duties or confirmation. If a person acknowledges that it has or will obtain control on behalf of another person, unless the person otherwise agrees or law<\/span> other than this article or Article 9 otherwise provides, the person does not owe any duty to the other person and is not required to confirm the acknowledgment to any other person. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCONTROL OF CONTROLLABLE ELECTRONIC RECORD (\u00a7 8.12-105)\n\na. General rule: control of controllable electronic record. A person has control\nof a controllable electronic record if the electronic record, a record attached\nto or logically associated with the electronic record, or a system in which the\nelectronic record is recorded:\n\n 1. gives the person:\n\nA. power to avail itself of substantially all the benefit from the electronic\nrecord; and\n\nB. exclusive power, subject to subsection (b), to:\n\ni. prevent others from availing themselves of substantially all the benefit from\nthe electronic record; and\n\n ii. transfer control of the electronic record to another person or cause\n another person to obtain control of another controllable electronic record as\n a result of the transfer of the electronic record; and\n\n 2. enables the person readily to identify itself in any way, including by\n name, identifying number, cryptographic key, office, or account number, as\n having the powers specified in paragraph (1).\n\nb. Meaning of exclusive. Subject to subsection (c), a power is exclusive under\nsubsection (a)(1)(B)(i) and (ii) even if:\n\n 1. the controllable electronic record, a record attached to or logically\n associated with the electronic record, or a system in which the electronic\n record is recorded limits the use of the electronic record or has a protocol\n programmed to cause a change, including a transfer or loss of control or a\n modification of benefits afforded by the electronic record; or\n\n 2. the power is shared with another person.\n\nc. When power not shared with another person. A power of a person is not shared\nwith another person under subsection (b)(2) and the person’s power is not\nexclusive if:\n\n 1. the person can exercise the power only if the power also is exercised by\n the other person; and\n\n 2. the other person:\n\nA. can exercise the power without exercise of the power by the person; or\n\nB. is the transferor to the person of an interest in the controllable electronic\nrecord or a controllable account or controllable payment intangible evidenced by\nthe controllable electronic record.\n\nd. Presumption of exclusivity of certain powers. If a person has the powers\nspecified in subsection (a)(1)(B)(i) and (ii), the powers are presumed to be\nexclusive.\n\ne. Control through another person. A person has control of a controllable\nelectronic record if another person, other than the transferor to the person of\nan interest in the controllable electronic record or a controllable account or\ncontrollable payment intangible evidenced by the controllable electronic record:\n\n 1. has control of the electronic record and acknowledges that it has control\n on behalf of the person; or\n\n 2. obtains control of the electronic record after having acknowledged that it\n will obtain control of the electronic record on behalf of the person.\n\nf. No requirement to acknowledge. A person that has control under this section\nis not required to acknowledge that it has control on behalf of another person.\n\ng. No duties or confirmation. If a person acknowledges that it has or will\nobtain control on behalf of another person, unless the person otherwise agrees\nor law other than this article or Article 9 otherwise provides, the person does\nnot owe any duty to the other person and is not required to confirm the\nacknowledgment to any other person.\n\nHISTORY: 2024, c. 652.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}