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
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
WHETHER A CONFIRMING BANK IS A NOMINATED BANK — AND WHAT HAPPENS WHEN THERE ARE TWO CONFIRMING BANKS 13 Dec 2025 INTRODUCTION Questions about whether a confirming bank is also a nominated bank may sound academic at first glance, but in practice they can become critically important — especially when a credit involves more than one confirming bank, a specific place of expiry, and documents moving across several borders. This Q&A examines a real-life scenario involving two confirming banks and explores …
Short Shipment or Not? 12 Dec 2025 Clarifying Quantity Requirements When an LC Covers Multiple Lots In practice, letters of credit covering multiple lots of goods often give rise to misunderstandings about whether each lot may be shipped separately — and how the limit on the number of shipments should be interpreted. On this occasion, let’s take a look at an interesting scenario raised by our colleague …
FREIGHT PREPAID VS FREIGHT PAYABLE AT DESTINATION — A LOOK BACK AS TA.958 APPROACHES 11 Dec 2025 INTRODUCTION With Technical Advisor Opinion TA.958 now on the table—specifically the question of whether a bill of lading showing both “freight prepaid” and “freight payable at D” should be considered conflicting under a credit that explicitly requires the document to be marked “freight prepaid”—the trade finance community is once again paying close attention. As we all know, the ICC Banking …
When CIF/CIP Value Cannot Be Determined — How Should the Invoice Be Issued? 11 Dec 2025 Intro In practice, banks and beneficiaries often face uncertainty when a credit requires a CIF or CIP term but does not state how freight or insurance should be shown. Must the invoice break them down? What if the actual freight or insurance charges are unknown at the time of issuing documents? Mr. Old Man shares some guidance based on ISBP …
Mr. Old Man vẫn “lần lữa” với Nỗi buồn chiến tranh 11 Dec 2025 Mặc dù đã hứa là về nhà sẽ đọc ngay, nhưng từ hôm viết cái review hành lang “Nỗi buồn chiến tranh” ở quán Traditional Café tới giờ, Mr. Old Man mới chỉ cầm cuốn sách lên ngắm nghía rồi lại đặt xuống, chưa mở nổi trang đầu. Một bạn trẻ đọc review đã để lại comment: “Chú ơi, cháu …
Negotiation with Recourse vs. Negotiation without Recourse — What’s the Real Difference? 10 Dec 2025 Introduction In export financing, the terms with recourse and without recourse often cause confusion, especially when applied to negotiation under LCs or discounting of drafts under collections. Although both methods provide early funding to exporters, the underlying risk allocation—and therefore the pricing and discounting ratios—are very different. Below is Mr. Old Man’s explanation to a reader who asked why banks …
Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have already arrived at customs. The importer intends to make payment in AED to the beneficiary in Dubai. The collecting bank received an MT199 from Mashreq Bank New York setting out its sanctions and internal … Read More
Is the Central Bank Liable if the Issuing Bank Becomes Bankrupt? Introduction An issuing bank assumes a primary obligation to honor a complying presentation under article 7 of UCP 600. However, beneficiaries occasionally raise a more difficult question: What happens if the issuing bank becomes insolvent, is subject to international sanctions, or is otherwise unable to fulfill its undertaking? Would the central bank, the ministry of finance, or another government authority … Read More
Mistyping of the L/C Number on Documents: Is It a Valid Discrepancy? It is common for documentary credits to require that all presented documents indicate the credit number. In practice, however, typographical errors occasionally occur. A frequently asked question is whether an issuing bank may refuse documents when the credit number appears incorrectly, even though the mistake is merely the result of a typing error. The following question concerns a situation in … Read More
Late Payment Interest Claim under a Sight Letter of Credit Under a sight letter of credit, the issuing bank is required to honour a complying presentation. However, UCP 600 also grants banks up to five banking days to examine the documents. The question often arises whether an issuing bank that effects payment after the expiry of the five-day examination period is liable to pay late-payment interest, particularly when the credit … Read More
Does “Clean On Board” Eliminate the Need for a Dated Onboard Notation? A recurring question in documentary credit practice is whether the issue date of a bill of lading may be treated as the shipment date when the document is pre-printed “Received by the carrier” but also bears the wording “Clean On Board”. The answer is not always straightforward and depends on the interaction between UCP 600, ISBP, and ICC Banking Commission … Read More
Does a Certificate Stating Compliance with a Phytosanitary Certificate Satisfy the L/C Requirement? Introduction: The interpretation of documentary requirements containing multiple alternatives linked by the word “or” can sometimes lead to different conclusions between the issuing bank and the beneficiary. The following case concerns an L/C clause requiring a certificate relating to the treatment of wood packing material, where the issuing bank and the beneficiary bank adopted different interpretations of the same wording. … Read More
Origin Station vs. Airport of Departure on an Air Waybill A reader recently asked whether an air waybill would be discrepant if it uses the terms “Origin Station” and “Destination Station” instead of “Airport of Departure” and “Airport of Destination” required by the letter of credit. The reader also asked whether the presence of both a Master Air Waybill (MAWB) number and a House Air Waybill (HAWB) number, together with … Read More
Bill of Lading or Multimodal Transport Document? Which UCP 600 Article Applies? A credit requires a “full set clean on board bill of lading” but, at the same time, field 44A specifies an inland place of taking in charge, while fields 44E and 44F indicate the port of loading and port of discharge. A multimodal transport document is subsequently presented, bearing only the notation “Received for Shipment” and no dated on-board notation. … Read More
Đà Nẵng – Thành phố xe đạp: Mr. Old Man sai rồi! Hơn 10 năm trước, Mr. Old Man từng viết bài “Đà Nẵng – Thành phố xe đạp. Tại sao không?”, đăng trên trang Quản lý Đô thị Đà Nẵng. Bài viết đề xuất một tầm nhìn dài hạn nhằm biến Đà Nẵng trở thành thành phố xe đạp đầu tiên của Việt Nam, xem xe đạp là một giải pháp … Read More
Thay avatar Chơi Facebook cũng hơn 17 năm, đã vài lần thay avatar, nhưng lần gần nhất chắc cũng ngót nghét chục năm rồi. Nhìn tấm ảnh cũ, trẻ trung và khỏe mạnh thì cũng thích thật, nhưng để mãi đôi khi thấy hơi… kỳ kỳ. Mấy ông bạn cà phê còn trêu: “Trông trẻ ghê hè. Đổi nick thành Mr. Young … Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have already arrived at customs. The importer intends to make payment in AED to the beneficiary in Dubai. The collecting bank received an MT199 from Mashreq Bank New York setting out its sanctions and internal … Read More
Is the Central Bank Liable if the Issuing Bank Becomes Bankrupt? Introduction An issuing bank assumes a primary obligation to honor a complying presentation under article 7 of UCP 600. However, beneficiaries occasionally raise a more difficult question: What happens if the issuing bank becomes insolvent, is subject to international sanctions, or is otherwise unable to fulfill its undertaking? Would the central bank, the ministry of finance, or another government authority … Read More
Mistyping of the L/C Number on Documents: Is It a Valid Discrepancy? It is common for documentary credits to require that all presented documents indicate the credit number. In practice, however, typographical errors occasionally occur. A frequently asked question is whether an issuing bank may refuse documents when the credit number appears incorrectly, even though the mistake is merely the result of a typing error. The following question concerns a situation in … Read More
Late Payment Interest Claim under a Sight Letter of Credit Under a sight letter of credit, the issuing bank is required to honour a complying presentation. However, UCP 600 also grants banks up to five banking days to examine the documents. The question often arises whether an issuing bank that effects payment after the expiry of the five-day examination period is liable to pay late-payment interest, particularly when the credit … Read More
Does “Clean On Board” Eliminate the Need for a Dated Onboard Notation? A recurring question in documentary credit practice is whether the issue date of a bill of lading may be treated as the shipment date when the document is pre-printed “Received by the carrier” but also bears the wording “Clean On Board”. The answer is not always straightforward and depends on the interaction between UCP 600, ISBP, and ICC Banking Commission … Read More
Does a Certificate Stating Compliance with a Phytosanitary Certificate Satisfy the L/C Requirement? Introduction: The interpretation of documentary requirements containing multiple alternatives linked by the word “or” can sometimes lead to different conclusions between the issuing bank and the beneficiary. The following case concerns an L/C clause requiring a certificate relating to the treatment of wood packing material, where the issuing bank and the beneficiary bank adopted different interpretations of the same wording. … Read More
Origin Station vs. Airport of Departure on an Air Waybill A reader recently asked whether an air waybill would be discrepant if it uses the terms “Origin Station” and “Destination Station” instead of “Airport of Departure” and “Airport of Destination” required by the letter of credit. The reader also asked whether the presence of both a Master Air Waybill (MAWB) number and a House Air Waybill (HAWB) number, together with … Read More
Bill of Lading or Multimodal Transport Document? Which UCP 600 Article Applies? A credit requires a “full set clean on board bill of lading” but, at the same time, field 44A specifies an inland place of taking in charge, while fields 44E and 44F indicate the port of loading and port of discharge. A multimodal transport document is subsequently presented, bearing only the notation “Received for Shipment” and no dated on-board notation. … Read More
Đà Nẵng – Thành phố xe đạp: Mr. Old Man sai rồi! Hơn 10 năm trước, Mr. Old Man từng viết bài “Đà Nẵng – Thành phố xe đạp. Tại sao không?”, đăng trên trang Quản lý Đô thị Đà Nẵng. Bài viết đề xuất một tầm nhìn dài hạn nhằm biến Đà Nẵng trở thành thành phố xe đạp đầu tiên của Việt Nam, xem xe đạp là một giải pháp … Read More
Thay avatar Chơi Facebook cũng hơn 17 năm, đã vài lần thay avatar, nhưng lần gần nhất chắc cũng ngót nghét chục năm rồi. Nhìn tấm ảnh cũ, trẻ trung và khỏe mạnh thì cũng thích thật, nhưng để mãi đôi khi thấy hơi… kỳ kỳ. Mấy ông bạn cà phê còn trêu: “Trông trẻ ghê hè. Đổi nick thành Mr. Young … Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? 9 Aug 2026 Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have already arrived at customs. The importer intends to make payment in AED to the beneficiary in Dubai. The collecting bank received an MT199 from Mashreq Bank New York setting out its sanctions and internal …
Is the Central Bank Liable if the Issuing Bank Becomes Bankrupt? 9 Aug 2026 Introduction An issuing bank assumes a primary obligation to honor a complying presentation under article 7 of UCP 600. However, beneficiaries occasionally raise a more difficult question: What happens if the issuing bank becomes insolvent, is subject to international sanctions, or is otherwise unable to fulfill its undertaking? Would the central bank, the ministry of finance, or another government authority …
Mistyping of the L/C Number on Documents: Is It a Valid Discrepancy? 8 Aug 2026 It is common for documentary credits to require that all presented documents indicate the credit number. In practice, however, typographical errors occasionally occur. A frequently asked question is whether an issuing bank may refuse documents when the credit number appears incorrectly, even though the mistake is merely the result of a typing error. The following question concerns a situation in …
Late Payment Interest Claim under a Sight Letter of Credit 8 Aug 2026 Under a sight letter of credit, the issuing bank is required to honour a complying presentation. However, UCP 600 also grants banks up to five banking days to examine the documents. The question often arises whether an issuing bank that effects payment after the expiry of the five-day examination period is liable to pay late-payment interest, particularly when the credit …
Does “Clean On Board” Eliminate the Need for a Dated Onboard Notation? 8 Aug 2026 A recurring question in documentary credit practice is whether the issue date of a bill of lading may be treated as the shipment date when the document is pre-printed “Received by the carrier” but also bears the wording “Clean On Board”. The answer is not always straightforward and depends on the interaction between UCP 600, ISBP, and ICC Banking Commission …
Does a Certificate Stating Compliance with a Phytosanitary Certificate Satisfy the L/C Requirement? 8 Aug 2026 Introduction: The interpretation of documentary requirements containing multiple alternatives linked by the word “or” can sometimes lead to different conclusions between the issuing bank and the beneficiary. The following case concerns an L/C clause requiring a certificate relating to the treatment of wood packing material, where the issuing bank and the beneficiary bank adopted different interpretations of the same wording. …
Origin Station vs. Airport of Departure on an Air Waybill 7 Aug 2026 A reader recently asked whether an air waybill would be discrepant if it uses the terms “Origin Station” and “Destination Station” instead of “Airport of Departure” and “Airport of Destination” required by the letter of credit. The reader also asked whether the presence of both a Master Air Waybill (MAWB) number and a House Air Waybill (HAWB) number, together with …
Bill of Lading or Multimodal Transport Document? Which UCP 600 Article Applies? 7 Aug 2026 A credit requires a “full set clean on board bill of lading” but, at the same time, field 44A specifies an inland place of taking in charge, while fields 44E and 44F indicate the port of loading and port of discharge. A multimodal transport document is subsequently presented, bearing only the notation “Received for Shipment” and no dated on-board notation. …
Đà Nẵng – Thành phố xe đạp: Mr. Old Man sai rồi! 7 Aug 2026 Hơn 10 năm trước, Mr. Old Man từng viết bài “Đà Nẵng – Thành phố xe đạp. Tại sao không?”, đăng trên trang Quản lý Đô thị Đà Nẵng. Bài viết đề xuất một tầm nhìn dài hạn nhằm biến Đà Nẵng trở thành thành phố xe đạp đầu tiên của Việt Nam, xem xe đạp là một giải pháp …
Thay avatar 6 Aug 2026 Chơi Facebook cũng hơn 17 năm, đã vài lần thay avatar, nhưng lần gần nhất chắc cũng ngót nghét chục năm rồi. Nhìn tấm ảnh cũ, trẻ trung và khỏe mạnh thì cũng thích thật, nhưng để mãi đôi khi thấy hơi… kỳ kỳ. Mấy ông bạn cà phê còn trêu: “Trông trẻ ghê hè. Đổi nick thành Mr. Young …
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More
Mr Old Man Sudan Sanctions and D/P Collection: Can the Payment Be Routed Through Another Bank? Introduction A practical question has arisen concerning a D/P (Documents against Payment) collection involving goods of Sudanese origin. The goods—watermelon seeds—were shipped from Sudan and have alr… Read More