QUESTION Dear  Mr. Old Man, Appreciate your reply to the following: Can LC be subject to the country’s law  in addition to UCP? Best regards, Zeev ——- ANSWER Dear  Zeev, I must admit that in my 20 years of experience with trade finance I have not yet come across any LC stipulating that it  is subject to both the UCP …

QUESTION FROM SHEILAR Hi Abrar and  Nguyen, Hope you are well. I’ve recently read the consolidated Draft opinions April 2015, and have found TA820 drafted very ambiguously and its analysis seemed equally questionable (see the attachment please).   For example, since the background information indicated that the presentation made after the amendment did not comply the the amended credit, I would …

The last slope to the peak of Hai Van Pass QUESTION Dear Mr. Old Man, LC states: Field 48 (Period of Presentation): Documents presented later than 21 days after shipment date but within L/C validity acceptable. Field 31D (Date and Place of Expiry): 150420 IN SINGAPORE Presented bills of lading shows shipment date as  04/03/2015 while the covering schedule shows issuance date as 11/03/2015 …

A corner of my garden QUESTION Dear Mr. Old Man, Your comment on the following issue is appreciated: The documents were presented to the issuing bank which refused the documents stating the discrepancy “Late presentation”. The negotiating bank sent the issuing bank a message confirming that the documents were presented within LC validity. Which bank is correct? Thank you. PT …

Riding up to the peak of Hai Van Pass QUESTION Dear Mr. Old Man, The beneficiary presents to our bank  the documents under an LC available with the issuing bank by deferred payment and asks us to negotiate the documents. What are the risks if we agree to negotiate? Thank you. Best regards, PMB ————- ANSWER Hi, Where the LC …

Map of Vietnam QUESTION Dear Mr. Old Man, Please help us with the following case: LC stated: ONE COPY HEALTH CERTIFICATE ISSUED BY GOVERNMENTAL AUTHORITY STATING: (A) THE FISHMEAL WAS PRODUCED IN A PROCESSING PLANTS DEDICATED ONLY TO FISH MEAL PRODUCTION WHERE NO MATERIAL OF ANIMAL ORIGIN OTHER THAN FISH PROTEIN IS BEING USED. (B) THE FISH MEAL WAS TRANSPORTED IN A …

Da Nang Beach, Vietnam QUESTION Dear Mr. Old Man, Thanks a lot for valuable views and comment. I asked you about correction and representation of documents, but now I have faced with a new situation that requires your opinion. The situation is as follows: We, the issuing bank, checked the documents and found a discrepancy on the invoice. We gave …

(Q&A quoted from DCPro UCP 600 Discussion Forum 23 – 27 Jan 2015) QUESTION Bank A issues a usance L/C (say 90 days after B/L date) available by negotiation/acceptance with any bank with draft drawn on the issuing bank (reimbursement to be effected by the issuing bank at maturity against a complying presentation). The L/C does not ask for confirmation …

QUESTION Is the issuing bank bound to honor in such case where the negotiating bank states in the covering schedule that the documents are complying which they forward to issuing bank 10 days after 5 banking days ? ——— ANSWER Hi, There are no articles in UCP 600 dealing with the time period within which the nominated bank must forward …

QUESTION Dear Mr. Old Man, A deferred payment LC stipulates as follows: F31D (Date and Place of Expiry): 150105 GERMANY F48 (Period for Presentation): WITHIN 21 DAYS FROM BILL OF LADING DATE The documents presented by the nominated bank in Germany shows the covering schedule date as 05 January, 2015 and the bill of lading date as 10 December, 2014. …