Mr Old Man PARTIAL SHIPMENTS UNDER SUB-ARTICLE 31 (B) QUESTION Dear Mr. Old Man, LC does not allow partial shipments. Documents were presented to the issuing bank in two separate covering schedules. The first set reached the issuing bank’s counter on 5 O… Read More
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
CÁI DUYÊN CAD – CHUYỆN HƠN 30 NĂM VỀ TRƯỚC 7 Aug 2025 Hồi đó, khoảng giữa thập niên 90, Việt Nam mới mở cửa được vài năm. Người nước ngoài bắt đầu ghé thăm nhiều hơn, mang theo ngoại tệ, sự tò mò… và cả những phi vụ mua bán “lạ đời”. Còn Mr. Old Man thì mới chân ướt chân ráo vào Vietcombank Đà Nẵng, được phân về Phòng Tín dụng …
CY/CY for LCL? And That Feeder Vessel Onboard Notation Confusion… 6 Aug 2025 Intro: Two classic bill of lading dilemmas — and two areas where LC checkers often hesitate: Can a B/L indicate CY/CY even when the cargo is clearly LCL? Is an on-board notation on the feeder vessel acceptable when the port of loading matches the LC? These are questions that continue to pop up in practice — and while the rules …
Obligations and Liabilities of the Transferring Bank in a Transferred Credit 6 Aug 2025 Introduction: In the context of transferable letters of credit, the role and liability of the transferring bank are often misunderstood — particularly when the issuing bank fails to honour or delays payment. Is the transferring bank obligated to pay the second beneficiary? Does the answer change if the bank confirms the transferred credit or undertakes to pay at maturity? To …
Vessel Age Certificate – Who Can Sign? A Tale of Two Scenarios and One Cautious Bank 5 Aug 2025 Intro: In this Q&A, we examine two real-world scenarios involving a certificate confirming the vessel’s age — a common LC condition. While both certificates appear to meet the content requirement, questions arise over the identity and authority of the issuer. Is a letterhead necessary? Can any agent of the carrier sign such a certificate? And how should an issuing bank …
Is Article 20 Applicable to a Surrendered Bill of Lading? 3 Aug 2025 Introduction: In trade finance, especially under letters of credit, questions often arise around the treatment of surrendered bills of lading—particularly when only a copy is presented. One common point of confusion is whether such documents fall under UCP 600 Article 20, which governs bills of lading. In this Q&A, we clarify whether Article 20 applies to surrendered bills of lading, …
When Banks Send LC Documents “on Collection Basis”: Clarifying the Confusion 2 Aug 2025 In documentary credit practice, few terms cause more misunderstanding than “documents sent on collection basis” — especially when a letter of credit (L/C) is involved and payment is at stake. In this Q&A, Mr. Old Man responds to a concerned exporter whose bank forwarded documents to the issuing bank after noting discrepancies. Are the documents still governed by UCP 600? …
Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orders—particularly in jurisdictions that favor domestic parties—can override payment expectations under an LC, leaving the negotiating bank exposed. Fact Summary The issuing bank in Iraq incurred a deferred payment undertaking under an … Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling” Năm 2017, Mr. Old Man chính thức xây dựng trang web www.mroldman.net dựa trên nền tảng của website cùng tên trên WordPress và blog từ thời Yahoo 360. Ban đầu, trang web chủ yếu đăng các bài viết và Q&A tư vấn về nghiệp vụ thanh toán quốc tế và tài trợ thương mại. Sau này, khi bắt đầu đam mê xe … Read More
Endorse First, Cancel Later — Can the Beneficiary Still Win? Intro: Sometimes in trade finance, a small action like endorsing a bill of lading too soon can create a big legal headache. What happens if a bank endorses the BL, then cancels that endorsement and returns the documents due to discrepancies? Here’s Mr. Old Man’s take — plus practical tips for both the beneficiary and the issuing bank on how … Read More
Drafts under Negotiation LCs Restricted to the Confirming Bank – Who Should They Be Drawn On? Intro: In practice, there have been cases where LCs available by negotiation with confirming banks state that drafts be drawn on the confirming bank. This does not comply with Article 2 of UCP 600. Where an LC contains such a term, should the draft be drawn on the confirming bank or the issuing bank? ______ QUESTION Dear Sir, Can … Read More
Gặp lại khách hàng “vừa cũ vừa già” Hôm trước đang thong dong đạp xe dọc đường Bạch Đằng Mr. Old Man tình cờ gặp lại khách hàng ngày xưa – vừa rất cũ và cũng vừa rất già. Nói vậy, bởi khi Mr. Old Man mới chân ướt chân ráo vào Vietcombank Đà Nẵng đã gọi vị khách hàng này bằng chú rồi, giờ Mr. Old Man … Read More
Consignee Mismatch? When the Certificate of Inspection and Bill of Lading Don’t Have to Match Intro: A recent LC case raised a dispute over alleged “conflicting information” between the consignee stated in a Certificate of Inspection and that shown in the bill of lading. The issuing bank cited UCP 600 Article 14(d) to justify refusal, while the beneficiary argued that ISBP 821 allows such differences under specific circumstances. Here’s Mr. Old Man’s take on whether … Read More
Variable Pricing Clause – Aluminum Linked to LME Intro: Applicable where the final unit price is to be determined based on London Metal Exchange (LME) quotations around the shipment date. The following clause ensures price calculation is objective, documentary evidence is provided, and the maximum price cap is observed. QUESTION Dear Mr. Old Man, Hope you are doing well. Need your guidance in regard to LC Issuance for … Read More
LETTERS OF CREDIT ISSUED BY NON-BANK ISSUERS: RISKS AND SOLUTIONS By Nguyen Huu Duc (Mr. Old Man) Recently, the author has received numerous questions from colleagues at banks and from exporters regarding letters of credit (LCs) issued by non-bank issuers via SWIFT message MT 710. In many cases, not only the exporter but also the bank has ended up “tasting the bitter fruit” from dealing with such LCs. This article … Read More
BIỂN CẤM TẮM BIỂN & CHAT GPT Sáng nào Mr. Old Man cũng ra biển Thanh Khê bơi vài trăm mét rồi về. Biển này nằm trong vịnh Đà Nẵng nên gần như chẳng bao giờ có sóng, nước phẳng lì như mặt hồ — bơi phê lắm. Bãi này không có cứu hộ, thế là Ban Quản lý dựng ngay một tấm biển đỏ chót “CẤM … Read More
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions In the world of documentary credits, the terms of availability play a critical role in determining which banks are authorized to act under the credit. A common point of confusion arises when a beneficiary chooses to present documents to a bank that is not nominated in the LC — raising the question: Can that bank negotiate the documents? And if … Read More
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orders—particularly in jurisdictions that favor domestic parties—can override payment expectations under an LC, leaving the negotiating bank exposed. Fact Summary The issuing bank in Iraq incurred a deferred payment undertaking under an … Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling” Năm 2017, Mr. Old Man chính thức xây dựng trang web www.mroldman.net dựa trên nền tảng của website cùng tên trên WordPress và blog từ thời Yahoo 360. Ban đầu, trang web chủ yếu đăng các bài viết và Q&A tư vấn về nghiệp vụ thanh toán quốc tế và tài trợ thương mại. Sau này, khi bắt đầu đam mê xe … Read More
Endorse First, Cancel Later — Can the Beneficiary Still Win? Intro: Sometimes in trade finance, a small action like endorsing a bill of lading too soon can create a big legal headache. What happens if a bank endorses the BL, then cancels that endorsement and returns the documents due to discrepancies? Here’s Mr. Old Man’s take — plus practical tips for both the beneficiary and the issuing bank on how … Read More
Drafts under Negotiation LCs Restricted to the Confirming Bank – Who Should They Be Drawn On? Intro: In practice, there have been cases where LCs available by negotiation with confirming banks state that drafts be drawn on the confirming bank. This does not comply with Article 2 of UCP 600. Where an LC contains such a term, should the draft be drawn on the confirming bank or the issuing bank? ______ QUESTION Dear Sir, Can … Read More
Gặp lại khách hàng “vừa cũ vừa già” Hôm trước đang thong dong đạp xe dọc đường Bạch Đằng Mr. Old Man tình cờ gặp lại khách hàng ngày xưa – vừa rất cũ và cũng vừa rất già. Nói vậy, bởi khi Mr. Old Man mới chân ướt chân ráo vào Vietcombank Đà Nẵng đã gọi vị khách hàng này bằng chú rồi, giờ Mr. Old Man … Read More
Consignee Mismatch? When the Certificate of Inspection and Bill of Lading Don’t Have to Match Intro: A recent LC case raised a dispute over alleged “conflicting information” between the consignee stated in a Certificate of Inspection and that shown in the bill of lading. The issuing bank cited UCP 600 Article 14(d) to justify refusal, while the beneficiary argued that ISBP 821 allows such differences under specific circumstances. Here’s Mr. Old Man’s take on whether … Read More
Variable Pricing Clause – Aluminum Linked to LME Intro: Applicable where the final unit price is to be determined based on London Metal Exchange (LME) quotations around the shipment date. The following clause ensures price calculation is objective, documentary evidence is provided, and the maximum price cap is observed. QUESTION Dear Mr. Old Man, Hope you are doing well. Need your guidance in regard to LC Issuance for … Read More
LETTERS OF CREDIT ISSUED BY NON-BANK ISSUERS: RISKS AND SOLUTIONS By Nguyen Huu Duc (Mr. Old Man) Recently, the author has received numerous questions from colleagues at banks and from exporters regarding letters of credit (LCs) issued by non-bank issuers via SWIFT message MT 710. In many cases, not only the exporter but also the bank has ended up “tasting the bitter fruit” from dealing with such LCs. This article … Read More
BIỂN CẤM TẮM BIỂN & CHAT GPT Sáng nào Mr. Old Man cũng ra biển Thanh Khê bơi vài trăm mét rồi về. Biển này nằm trong vịnh Đà Nẵng nên gần như chẳng bao giờ có sóng, nước phẳng lì như mặt hồ — bơi phê lắm. Bãi này không có cứu hộ, thế là Ban Quản lý dựng ngay một tấm biển đỏ chót “CẤM … Read More
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions In the world of documentary credits, the terms of availability play a critical role in determining which banks are authorized to act under the credit. A common point of confusion arises when a beneficiary chooses to present documents to a bank that is not nominated in the LC — raising the question: Can that bank negotiate the documents? And if … Read More
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Case Note – Negotiation of Deferred Payment Undertaking Without Authorization 14 Aug 2025 This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orders—particularly in jurisdictions that favor domestic parties—can override payment expectations under an LC, leaving the negotiating bank exposed. Fact Summary The issuing bank in Iraq incurred a deferred payment undertaking under an …
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling” 14 Aug 2025 Năm 2017, Mr. Old Man chính thức xây dựng trang web www.mroldman.net dựa trên nền tảng của website cùng tên trên WordPress và blog từ thời Yahoo 360. Ban đầu, trang web chủ yếu đăng các bài viết và Q&A tư vấn về nghiệp vụ thanh toán quốc tế và tài trợ thương mại. Sau này, khi bắt đầu đam mê xe …
Endorse First, Cancel Later — Can the Beneficiary Still Win? 14 Aug 2025 Intro: Sometimes in trade finance, a small action like endorsing a bill of lading too soon can create a big legal headache. What happens if a bank endorses the BL, then cancels that endorsement and returns the documents due to discrepancies? Here’s Mr. Old Man’s take — plus practical tips for both the beneficiary and the issuing bank on how …
Drafts under Negotiation LCs Restricted to the Confirming Bank – Who Should They Be Drawn On? 13 Aug 2025 Intro: In practice, there have been cases where LCs available by negotiation with confirming banks state that drafts be drawn on the confirming bank. This does not comply with Article 2 of UCP 600. Where an LC contains such a term, should the draft be drawn on the confirming bank or the issuing bank? ______ QUESTION Dear Sir, Can …
Gặp lại khách hàng “vừa cũ vừa già” 12 Aug 2025 Hôm trước đang thong dong đạp xe dọc đường Bạch Đằng Mr. Old Man tình cờ gặp lại khách hàng ngày xưa – vừa rất cũ và cũng vừa rất già. Nói vậy, bởi khi Mr. Old Man mới chân ướt chân ráo vào Vietcombank Đà Nẵng đã gọi vị khách hàng này bằng chú rồi, giờ Mr. Old Man …
Consignee Mismatch? When the Certificate of Inspection and Bill of Lading Don’t Have to Match 11 Aug 2025 Intro: A recent LC case raised a dispute over alleged “conflicting information” between the consignee stated in a Certificate of Inspection and that shown in the bill of lading. The issuing bank cited UCP 600 Article 14(d) to justify refusal, while the beneficiary argued that ISBP 821 allows such differences under specific circumstances. Here’s Mr. Old Man’s take on whether …
Variable Pricing Clause – Aluminum Linked to LME 11 Aug 2025 Intro: Applicable where the final unit price is to be determined based on London Metal Exchange (LME) quotations around the shipment date. The following clause ensures price calculation is objective, documentary evidence is provided, and the maximum price cap is observed. QUESTION Dear Mr. Old Man, Hope you are doing well. Need your guidance in regard to LC Issuance for …
LETTERS OF CREDIT ISSUED BY NON-BANK ISSUERS: RISKS AND SOLUTIONS 11 Aug 2025 By Nguyen Huu Duc (Mr. Old Man) Recently, the author has received numerous questions from colleagues at banks and from exporters regarding letters of credit (LCs) issued by non-bank issuers via SWIFT message MT 710. In many cases, not only the exporter but also the bank has ended up “tasting the bitter fruit” from dealing with such LCs. This article …
BIỂN CẤM TẮM BIỂN & CHAT GPT 9 Aug 2025 Sáng nào Mr. Old Man cũng ra biển Thanh Khê bơi vài trăm mét rồi về. Biển này nằm trong vịnh Đà Nẵng nên gần như chẳng bao giờ có sóng, nước phẳng lì như mặt hồ — bơi phê lắm. Bãi này không có cứu hộ, thế là Ban Quản lý dựng ngay một tấm biển đỏ chót “CẤM …
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions 8 Aug 2025 In the world of documentary credits, the terms of availability play a critical role in determining which banks are authorized to act under the credit. A common point of confusion arises when a beneficiary chooses to present documents to a bank that is not nominated in the LC — raising the question: Can that bank negotiate the documents? And if …
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
Articles Case Note – Negotiation of Deferred Payment Undertaking Without Authorization This case highlights the risks for presenting banks when discounting a deferred payment undertaking (DPU) without explicit authorization from the issuing bank. It also illustrates how local court orde… Read More
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
When Can a Non-Nominated Bank Negotiate? Risks and Realities for Bank B in Documentary Credit Transactions
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”
PR nho nhỏ cho trang web www.mroldman.net – “MR. OLD MAN – For Those Who Eat, Sleep and Breathe Letters of Credit and Cycling”