Which Date Counts? Cargo Receipts vs. Actual Receipt Dates

Intro

In LC practice, dates on documents often matter more than the facts behind them.
One of the most common traps is assuming that a document must reflect the “real” event date. In reality, banks can only judge what appears on the face of the document, not what happened in the warehouse or at the port.

This short Q&A looks at a simple but risky situation:
What happens when a cargo receipt is dated earlier than the actual date the goods were received?

Question

Dear Mr. Old Man,

I have just discovered your blog while searching for LC issues on the internet, and I find your articles very helpful.

I would like to ask one question:

If a cargo receipt is dated earlier than the actual date the cargo is received (for example, the receipt is dated 20 Jan 20xx, but the cargo is actually received on 22 Jan 20xx), is such a document acceptable under an LC?

I hope you can advise.

Thank you very much.

Tin Le

________

Answer

Dear Tin Le,

Thank you for your question.

You are essentially asking whether a cargo receipt dated earlier than the actual date of receipt of the cargo is acceptable under a letter of credit.

A cargo receipt is not a transport document covered by UCP 600 Articles 19–25. Therefore, unless the LC contains a specific clause to the contrary, banks have no basis to determine the actual date of shipment or receipt beyond what is stated on the face of the document.

Accordingly:

• If the LC does not require the cargo receipt to state the actual date of receipt, and
• If the LC does not provide that the issuance date of the cargo receipt shall be deemed to be the shipment date,

then banks must rely solely on the date shown on the cargo receipt itself.

For example, if the LC stipulates a latest shipment date of 20 January, and the cargo receipt is dated 20 January, the document is complying on its face, even if the goods were in fact received on 22 January.

Banks are not permitted to raise a discrepancy for “late shipment” based on information that is not evident from the documents themselves.

Conclusion

The cargo receipt is acceptable unless it explicitly shows a date later than the latest shipment date specified in the LC, or the LC requires proof of the actual date of receipt.

Best regards,

Mr. Old Man