DOCUMENTS DELIVERED ON A BANK HOLIDAY

Hoi An Ancient Town

QUESTION

Dear Mr. Old Man,

We have a real case that needs your urgent help.

Our bank closed for 2015 New Year’s Holiday  from Thursday 1 January  to Sunday 4 January, 2015.

On Friday, 2 January, 2015 DHL delivered one set of documents to our bank and a security guard signed the receipt of the documents.

On 5 January, 2015 when our bank re-opened, we checked the documents and found some discrepancies.

On 12 January, 2015 we sent our notice of refusal to the presenting bank.

On 14 January, 2015 the presenting bank rejected our refusal stating that we gave the notice later than the close of the fifth banking day following the day of presentation, i.e., 2 January, 2015, and hence, we were precluded from claiming that the documents did not constitute a complying presentation.

Was the presenter correct in rejecting our notice of refusal?

We are worried because when asked for a waiver of discrepancies, the applicant has confirmed to us that he will refuse to take up the documents.

We appreciate your soon answer.

Kind regards,

H.

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ANSWER

Hi,

Don’t worry too much.

Banking day means a day on which a bank is regularly open at the place at which an act subject to UCP 600 is to be performed.

The fact that your bank closed from Thursday 1 January to Sunday 4 January, 2015 complied with Vietnam Government’s official announcement of 2015 New Year’s Holidays. Therefore, Monday 2 January, 2015 was not a banking day despite that the security guard signed the acknowledgment receipt of the documents of the documents.

Please send the presenting bank a message explaining the situation. If required, you can provide them with proofs, e.g., Vietnam Government’s announcement of 2015 New Year’s Holidays and your bank’s holiday notice of New year’s Day 2015, DHL’s certification …

Good luck!

Regards,

Mr. Old Man