QUESTION Dear Mr. Old Man, I have two questions for you: 1) The issuing bank sends an MT 707 advising that the LC is cancelled. The advising bank advises the beneficiary of the same, however, the beneficiary keeps silent as to the amendment and later the beneficiary makes a presentation for negotiation. Can we negotiate the documents? I see …

  QUESTION LC allowed partial shipments. The beneficiary effected two shipments and presented to the negotiating bank two separate sets of documents, one set is complying, while the other set is not. The negotiating bank later forwarded to the issuing bank the two sets of documents under one covering schedule which showed the details of each set of documents as …

QUESTION May I ask you, have you ever sought answer from ICC members who composed ISBP. They must have had reason adding paragraph C7 in ISBP, mustn’t they? LC ——– ANSWER Dear LC, I do not think it’s necessary to ask for ICC members’s explanation why ICC provides  in ISBP 745 that an invoice may indicate a deduction covering advance …

QUESTION Dear Mr. Old Man, Is there a possibility that LC is available by negotiation with advising bank who also adds its confirmation, but drafts drawn on issuing bank? Any UCP article/opinion dealing with this matter? Thanks in advance for yr reply Shirki ——- ANSWER Hi, Where LC is available by negotiation with the confirming bank, drafts SHOULD and MUST …

Da Nang, Vietnam QUESTION Hi, I do need comments from someone who knows about Bangladesh Laws relating to refusal of documents. We have received MT799 from the issuing bank with the content as follows: “PLS BE INFORMED THAT WE ARE OBLIGATED TO FOLLOW THE FOREIGN EXCHANGE POLICY IMPOSED BY OUR CENTRAL BANK AS WELL AS THE PREVAILING LAWS OF OUR …

MUST A BANK ACCEPT SIMILAR DISCREPANCIES OF FUTURE DRAWINGS.

QUESTION Documents covering a partial shipment are presented and accepted under a L/C that prohibits partial shipments. Would you consider their acceptance by the applicant despite this discrepancy as an amendment to the credit allowing other partial shipments presentations? A.S Regards ——— ANSWER Hi, I don’t think so. The fact that a bank accepts a presentation containing discrepanc(ies), with or …

QUESTION Dear Mr. Old Man, I would like to hear your explanation of paragraph A7(a)(ii), which says “…Such authentication is to indicate the name of the entity authenticating the correction either by use of a stamp incorporating its name, or by the addition of the name of the authenticating entity accompanied by its signature or initials”. I wonder whether only …

QUESTION Dear Mr. Old Man, The documents have been sent to the issuing bank and the issuing bank has received the documents. I want to know whether the presenter can request the issuing bank to return the documents in order for him to correct some information in the documents. Looking forward to your early reply. Thanks and best regards, BT …

QUESTION Dear Mr. Old Man, Could you please answer this question? In case the presentation is COMPLYING, can the negotiating bank recall the shipping documents irrespective that the applicant does not agree with this action? What is the difference if our bank is the transferring bank and the bank recalling the documents is the second beneficiary’s bank? Awaiting your soonest …