Introduction This question illustrates a common misunderstanding: a presentation period stipulated in the LC does not operate independently of the LC expiry date. Even where the stipulated period extends beyond the expiry date, the beneficiary cannot use that period to keep the credit alive after expiry. Question Dear Mr. Old Man, LC expiry date: 1/8/2026 Latest shipment date: 1/8/2026 Field …

Intro In practice, documents are often presented to a nominated bank close to the LC expiry date and then forwarded onward to a confirming bank. This raises a recurring question: does the confirming bank have the right to refuse simply because the documents reach its counter after expiry?  The following scenario illustrates why forwarding time must not be confused with …

QUESTION Dear Mr. Old Man, I have a question as follows: Is there any ICC opinion on the situation where the issuing bank can return the documents on the grounds that the documents are presented after the LC expiry date? If the Applicant has received the goods, is the issuing bank obliged to pay the documents? Is there a case …

QUESTION Hello Mr.Old Man: Here is my case. I hope you have time to review and share with me your opinion. The beneficiary presented the documents to the confirming bank after expiry of the LC, the confirming bank sent the presenting bank a swift refusing to honour or negotiate the documents stating the following discrepancies: LC expired. Late remittance And asked …

QUERYLC Expired! What should I do? Hello All! I find myself in a bit of a tough situation. I have an LC that a customer opened to me and it has expired 2 days ago. I am still waiting on one of the documents from my supplier (SDR) in order to submit the entire package to the bank. Since the …