QUESTION Dear Mr. Old Man, I have a question that needs your clarification. It is commonly known that when drafts are to be drawn at xxx days after or from the the bill of lading date and the presented bill of lading shows both the issuing date and the on board date, the on board date is to be used …

QUESTION Dear Mr. Old Man, May I request you to please explain me the difference between Negotiable & Non – Negotiable Sea Waybills in details if possible? Thanks a lot for your time. Abdul ———– ANSWER Hi, No difference! Sea Waybill and Non-Negotiable Sea Waybill are One and Non-Negotiable. Sea Waybill or Non-negotiable Sea Waybill is described as a document …

QUESTION Dear Mr. Old Man, I have a case relating to documents under the transferred LC presented directly to the issuing bank bypassing the transferring bank. Our bank issued a transferable LC with Kookmin Bank as the transferring bank Kookmin Bank transferred the LC to the second beneficiary but it didn’t advise our bank of  the status of  the transferred …

QUESTION Dear Mr. Old Man, We presented via our bank one set of documents under an LC at sight to the issuing bank for payment. Since having not received the payment, we contacted the importer and were informed that they were applying for Trust Receipt. What is Trust Receipt? Why must the importer apply for Trust Receipt? Thank you LC …

Ngày 17/4/2013 Phòng Thương Mại Quốc tế (International Chamber of Commerce – ICC) đã thông qua Bộ quy tắc thông nhất về nghĩa vụ thanh toán ngân hàng (Uniform Rules for Bank Payment Obligation – URBPO), một bộ tiêu chuẩn mới trong tài trợ chuỗi cung ứng có tác dụng thúc đẩy thương mại quốc tế. URBPO, có hiệu lực …

QUESTION Dear Mr. Old Man, We own a shop specialized in selling stone statues and garden sculptures for domestic customers as well as foreign tourists. We do not have problem with domestic buyers as they would agree to pay in advance part of the invoice value as a pledged amount and they will pay the remaining amount when the goods are …

QUESTION Dear Mr. Old Man: ISBP745 D7 “When a credit requires shipment to commence from a port, i.e., when the first leg of the journey, as required by the credit, is by sea, a multimodal transport document is to indicate a dated on board notation, and in this event paragraph E6 (b-d) will also apply.” I don’t understand why should …

QUESTION Dear Mr.  Old Man, 1) Can the beneficiary present the documents to the nominated bank with instruction that payment is to be paid to another party? 2) If yes, how can we incorporate this clause into the LC? Thank you. Regards, BD ——— ANSWER Hi, 1) Yes. The beneficiary can assign any proceeds to which it may be entitled …

QUESTION Dear Mr. Old Man, Please help me with the following: 1)  LC requires “Signed commercial invoice”, but the invoice presented is signed with a stamp bearing the name of the beneficiary, e.g., ABC Co., Ltd. Can the stamp be treated as a signature? 2) LC does not require insurance policy to indicate number of originals. 2.1 Is it acceptable …

QUESTION Dear Mr. Old Man, I would appreciate your answer to my following questions: Is the drawee in drafts always the issuing bank? Can drafts be drawn on the confirming bank? Thank you. TL ________ ANSWER Hi, 1) Quite often, but not always.  It is agreed that the drawee on drafts would be the issuing bank. However, a draft  may …