For the purposes of these Articles, the expressions
"Documentary Credit(s)" and "Standby Letter(s) of Credit"
(hereinafter referred to as "Credit(s)"), mean any arrangement,
however named or described, whereby a bank (the "Issuing Bank")
acting at the request and on the instructions of a customer (the
"Applicant") or on its own behalf,
- is to make a payment to or to
the order of a third party (the "Beneficiary"), or is to
accept and pay bills of exchange (Draft(s))drawn by the Beneficiary,or
- authorizes another bank to
effect such payment, or to accept and pay such bills of exchange
(Draft(s)),or
- authorizes another bank to
negotiate, against stipulated document(s), provided that the terms and
conditions of the Credit are complied with.
For the purposes of these Articles, branches of a bank in different countries
are considered another bank.
ARTICLE 3
Credits v. Contracts
|
- Credits, by their nature,
are separate transactions from the sales or other contract(s) on which
they may be based and banks are in no way concerned with or bound by
such contract(s), even if any reference whatsoever to such contract(s)
is included in the Credit. Consequently, the undertaking of a bank to
pay, accept and pay Draft(s) or negotiate and/or to fulfill any other
obligation under the Credit, is not subject to claims or defenses by
the Applicant resulting from his relationships with the Issuing Bank
or the Beneficiary.
- A Beneficiary can in no
case avail himself of the contractual relationships existing between
the banks or between the Applicant and the Issuing Bank.
|
ARTICLE 4
Documents v.
Goods/Services/Performances
|
In
Credit operations all parties concerned deal with documents, and not with
goods, services and/or other performances to which the documents may
relate.
|
ARTICLE 5
Instructions to Issue/Amend
Credits
|
- Instructions for the
issuance of a Credit, the Credit itself, instructions for an amendment
thereto, and the amendment itself, must be complete and precise. In
order to guard against confusion and misunderstanding, banks should
discourage any attempt:
I
|
to include excessive detail in the Credit or in any
amendment thereto;
|
II
|
to give instructions to issue, advise or confirm a
Credit by reference to a Credit previously issued (similar Credit) where
such previous Credit has been subject to accepted amendment(s), and/or
unaccepted amendment(s).
|
- All instructions for the
issuance of a Credit and the Credit itself and, where applicable, all
instructions for an amendment thereto and the amendment itself, must
state precisely the document(s) against which payment, acceptance or
negotiation is to be made.
|
ARTICLE 6
Revocable v. Irrevocable Credits
|
A.
A Credit may be either revocable, or irrevocable.
- The Credit, therefore,
should clearly indicate whether it is revocable or irrevocable.
- In the absence of such
indication the Credit shall be deemed to be irrevocable.
|
ARTICLE 7
Advising Bank's Liability
|
- A Credit may be advised to
a Beneficiary through another bank (the "Advising Bank")
without engagement on the part of the Advising Bank, but that bank, if
it elects to advise the Credit, shall take reasonable care to check
the apparent authenticity of the Credit which it advises. If the bank
elects not to advise the Credit, it must so inform the Issuing Bank
without delay.
- If the Advising Bank cannot
establish such apparent authenticity it must inform, without delay,
the bank from which the instructions appear to have been received that
it has been unable to establish the authenticity of the Credit and if
it elects nonetheless to advise the Credit it must inform the
Beneficiary that it has not been able to establish the authenticity of
the Credit.
|
ARTICLE 8
Revocation of a Credit
|
- A revocable Credit may be
amended or canceled by the Issuing Bank at any moment and without
prior notice to the Beneficiary.
- However, the Issuing Bank
must:
I
|
reimburse another bank with which a revocable Credit
has been made available for sight payment, acceptance or negotiation for
any payment, acceptance or negotiation made by such bank prior to receipt
by it of notice of amendment or cancellation, against documents which
appear on their face to be in compliance with the terms and conditions of
the Credit;
|
II
|
reimburse another bank with which a revocable Credit
has been made available for deferred payment, if such a bank has, prior
to receipt by it of notice of amendment or cancellation, taken up
documents which appear on their face to be in compliance with the terms
and conditions of the Credit.
|
|
ARTICLE 10
Type of Credit
|
- All Credits must clearly
indicate whether they are available by sight payment, by deferred
payment, by acceptance or by negotiation.
- Unless the Credit
stipulates that it is available only with the Issuing Bank, all
Credits must nominate the bank (the "Nominated Bank") which
is authorized to pay, to incur a deferred payment undertaking, to
accept Draft(s) or to negotiate. In a freely negotiable Credit, any
bank is a Nominated Bank.
Presentation of documents must be made to the Issuing Bank or the
Confirming Bank, if any, or any other Nominated Bank.
Negotiation means the giving of value for Draft(s) and/or document(s)
by the bank authorized to negotiate. Mere examination of the documents
without giving of value does not constitute a negotiation.
- Unless the Nominated Bank
is the Confirming Bank, nomination by the Issuing Bank does not
constitute any undertaking by the Nominated Bank to pay, to incur a
deferred payment undertaking, to accept Draft(s), or to negotiate.
Except where expressly agreed to by the Nominated Bank and so
communicated to the Beneficiary, the Nominated Bank's receipt of
and/or examination and/or forwarding of the documents does not make
that bank liable to pay, to incur a deferred payment undertaking, to
accept Draft(s), or to negotiate.
- By nominating another bank,
or by allowing for negotiation by any bank, or by authorizing or
requesting another bank to add its confirmation, the Issuing Bank
authorizes such bank to pay, accept Draft(s) or negotiate as the case
may be, against documents which appear on their face to be in
compliance with the terms and conditions of the Credit and undertakes
to reimburse such bank in accordance with the provisions of these
Articles.
|
ARTICLE 11
Teletransmitted and Pre Advised
Credit
|
- When an Issuing Bank
instructs an Advising Bank by an authenticated teletransmission to
advise a Credit or an amendment to a Credit, the teletransmission will
be deemed to be the operative Credit instrument or the operative
amendment, and no mail confirmation should be sent. Should a mail
confirmation nevertheless be sent, it will have no effect and the
Advising Bank will have no obligation to check such mail confirmation
against the operative Credit instrument or the operative amendment
received by teletransmission.
If the teletransmission states "full details to follow" (or
words of similar effect) or states that the mail confirmation is to be
the operative Credit instrument or the operative amendment, then the
teletransmission will not be deemed to be the operative Credit
instrument or the operative amendment. The Issuing Bank must forward
the operative Credit instrument or the operative amendment to such
Advising Bank without delay.
- If a bank uses the services
of an Advising Bank to have the Credit advised to the Beneficiary, it
must also use the services of the same bank for advising an
amendment(s).
- A preliminary advice of the
issuance or amendment of an irrevocable Credit (pre advice), shall
only be given by an Issuing Bank if such bank is prepared to issue the
operative Credit instrument or the operative amendment thereto. Unless
otherwise stated in such preliminary advice by the Issuing Bank, an
Issuing Bank having given such pre advice shall be irrevocably
committed to issue or amend the Credit, in terms not inconsistent with
the pre advice, without delay.
|
ARTICLE 12
Incomplete or Unclear
Instructions
|
If
incomplete or unclear instructions are received to advise, confirm or amend
a Credit, the bank requested to act on such instructions may give
preliminary notification to the Beneficiary for information only and
without responsibility. This preliminary notification should state clearly
that the notification is provided for information only and without the
responsibility of the Advising Bank. In any event, the Advising Bank must
inform the Issuing Bank of the action taken and request it to provide the
necessary information.
The
Issuing Bank must provide the necessary information without delay. The
Credit will be advised, confirmed or amended, only when complete and clear
instructions have been received and if the Advising Bank is then prepared
to act on the instructions.
|
LIABILITIES AND RESPONSIBILITIES
|
ARTICLE 13
Standard for Examination of
Documents
|
- Banks must examine all
documents stipulated in the Credit with reasonable care, to ascertain
whether or not they appear, on their face, to be in compliance with
the terms and conditions of the Credit. Compliance of the stipulated
documents on their face with the terms and conditions of the Credit,
shall be determined by international standard banking practice as
reflected in these Articles. Documents which appear on their face to
be inconsistent with one another will be considered as not appearing
on their face to be in compliance with the terms and conditions of the
Credit.
Documents not stipulated in the Credit will not be examined by banks.
If they receive such documents, they shall return them to the
presenter or pass them on without responsibility.
-
- If a Credit contains conditions
without stating the document(s) to be presented in compliance
therewith, banks will deem such conditions as not stated and will
disregard them.
|
ARTICLE 14
Discrepant Documents and Notice
|
- When the Issuing Bank
authorizes another bank to pay, incur a deferred payment undertaking,
accept Draft(s), or negotiate against documents which appear on their
face to be in compliance with the terms and conditions of the Credit,
the Issuing Bank and the Confirming Bank, if any, are bound:
I
|
to reimburse the Nominated Bank which has paid,
incurred a deferred payment undertaking, accepted Draft(s), or
negotiated,
|
II
|
to take up the documents.
|
- Upon receipt of the
documents the Issuing Bank and /or Confirming Bank, if any, or a
Nominated Bank acting on their behalf, must determine on the basis of
the documents alone whether or not they appear on their face to be in
compliance with the terms and conditions of the Credit. If the
documents appear on their face not to be in compliance with the terms
and conditions of the Credit, such banks may refuse to take up the
documents.
- If the Issuing Bank
determines that the documents appear on their face not to be in
compliance with the terms and conditions of the Credit, it may in its
sole judgment approach the Applicant for a waiver of the
discrepancy(ies). This does not, however, extend the period mentioned
in sub Article 13 (b).
- If the Issuing Bank and/or
Confirming Bank, if any, or a Nominated Bank acting on their behalf,
decides to refuse the documents, it must give notice to that effect by
telecommunication or, if that is not possible, by other expeditious
means, without delay but no later than the close of the seventh
banking day following the day of receipt of the documents. Such notice
shall be given to the bank from which it received the documents, or to
the Beneficiary, if it received the documents directly from him.
I
|
Such notice must state all discrepancies in respect of
which the bank refuses the documents and must also state whether it is
holding the documents at the disposal of, or is returning them to, the
presenter.
|
II
|
The Issuing Bank and/or Confirming Bank, if any, shall
then be entitled to claim from the remitting bank refund, with interest,
of any reimbursement which has been made to that bank.
|
- If the Issuing Bank and/or
Confirming Bank, if any, fails to act in accordance with the
provisions of this Article and/or fails to hold the documents at the
disposal of, or return them to the presenter, the Issuing Bank and/ or
Confirming Bank, if any, shall be precluded from claiming that the
documents are not in compliance with the terms and conditions of the
Credit.
- If the remitting bank draws
the attention of the Issuing Bank and/or Confirming Bank, if any, to
any discrepancy(ies) in the document(s) or advises such banks that it
has paid, incurred a deferred payment undertaking, accepted Draft(s)
or negotiated under reserve or against an indemnity in respect of such
discrepancy(ies), the Issuing Bank and/or Confirming Bank, if any,
shall not be thereby relieved from any of their obligations under any
provision of this Article. Such reserve or indemnity concerns only the
relations between the remitting bank and the party towards whom the
reserve was made, or from whom, or on whose behalf, the indemnity was
obtained.
|
ARTICLE 15
Disclaimer on Effectiveness of
Documents
|
Banks assume no liability or responsibility for the
form, sufficiency, accuracy, genuineness, falsification or legal effect of
any document(s), or for the general and/or particular conditions stipulated
in the document(s) or superimposed thereon; nor do they assume any
liability or responsibility for the description, quantity, weight, quality,
condition, packing, delivery, value or existence of the goods represented
by any document(s), or for the good faith or acts and/or omissions,
solvency, performance or standing of the consignors, the carriers, the
forwarders, the consignees or the insurers of the goods, or any other
person whomsoever
|
ARTICLE 16
Disclaimer the Transmission of
Documents
|
Banks assume no liability or responsibility for the
consequences arising out of delay and/or loss in transit of any message(s),
letter(s) or document(s), or for delay, mutilation or other error(s)
arising in the transmission of any telecommunication. Banks assume no
liability or responsibility for errors in translation and/or interpretation
of technical terms, and reserve the right to transmit Credit terms without
translating them.
|
ARTICLE 17
Force Majeure
Banks assume no liability or responsibility for the consequences
arising out of the interruption of their business by Acts of God, riots,
civil commotions, insurrections, wars or any other causes beyond their
control, or by any strikes or lockouts. Unless specifically authorized,
banks will not, upon resumption of their business, pay, incur a deferred
payment undertaking, accept Draft(s) or negotiate under Credits which
expired during such interruption of their business.
|
ARTICLE 18
Disclaimer for Acts of an
Instructed Party
|
- Banks utilizing the
services of another bank or other banks for the purpose of giving
effect to the instructions of the Applicant do so for the account and
at the risk of such Applicant.
- Banks assume no liability
or responsibility should the instructions they transmit not be carried
out, even if they have themselves taken the initiative in the choice
of such other bank(s).
- A party instructing another
party to perform services is liable for any charges, including
commissions, fees, costs or expenses incurred by the instructed party
in connection with its instructions. Where a credit stipulates that
such charges are for the account of a party other than the instructing
party, and charges cannot be collected, the instructing party remains
ultimately liable for the payment thereof.
- The Applicant shall be
bound by and liable to indemnify the banks against all obligations and
responsibilities imposed by foreign laws and usages.
|
ARTICLE 19
Bank to Bank Reimbursement
Arrangements
|
- If an Issuing Bank intends
that the reimbursement to which a paying, accepting or negotiating
bank is entitled, shall be obtained by such bank (the "Claiming
Bank"), claiming on another party (the "Reimbursing
Bank"), it shall provide such Reimbursing Bank in good time with
the proper instructions or authorization to honor such reimbursement
claims.
- Issuing Banks shall not
require a Claiming Bank to supply a certificate of compliance with the
terms and conditions of the Credit to the Reimbursing Bank.
- An Issuing Bank shall not
be relieved from any of its obligations to provide reimbursement if
and when reimbursement is not received by the Claiming Bank from the
Reimbursing Bank.
- The Issuing Bank shall be
responsible to the Claiming Bank for any loss of interest if
reimbursement is not provided by the Reimbursing Bank on first demand,
or as otherwise specified in the Credit, or mutually agreed, as the
case may be.
- The Reimbursing Bank's
charges should be for the account of the Issuing Bank. However, in
cases where the charges are for the account of another party, it is
the responsibility of the Issuing Bank to so indicate in the original
Credit and in the reimbursement authorization. In cases where the
Reimbursing Bank's charges are for the account of another party they
shall be collected from the Claiming Bank when the Credit is drawn
under. In cases where the Credit is not drawn under, the Reimbursing
Bank's charges remain the obligation of the Issuing Bank.
|
DOCUMENTS
ARTICLE 20
Ambiguity as to the Issuers of
Documents
|
- Terms such as "first
class", "well known", "qualified",
"independent", "official", "competent",
"local", and the like, shall not be used to describe the
issuers of any document(s) to be presented under a Credit. If such
terms are incorporated in the Credit, banks will accept the relative
document(s) as presented, provided that it appears on its face to be
in compliance with the other terms and conditions of the Credit and
not to have been issued by the Beneficiary.
- Unless otherwise stipulated
in the Credit, banks will also accept as an original document(s), a
document(s) produced or appearing to have been produced:
I
|
by reprographic, automated or computerized systems;
|
II
|
as carbon copies; provided that it is marked as
original and, where necessary, appears to be signed.
|
- A document may be signed by
handwriting, by facsimile signature, by perforated signature, by
stamp, by symbol, or by any other mechanical or electronic method of
authentication.
- Unless otherwise stipulated
in the Credit, banks will accept as a copy(ies), a document(s) either
labeled copy or not marked as an original a copy(ies) need not be
signed.
Credits
that require multiple document(s) such as "duplicate", "two
fold", "two copies" and the like, will be satisfied by the
presentation of one original and the remaining number in copies except
where the document itself indicates otherwise.
- Unless otherwise stipulated
in the Credit, a condition under a Credit calling for a document to be
authenticated, validated, legalized, visaed, certified or indicating a
similar requirement, will be satisfied by any signature, mark, stamp
or label on such document that on its face appears to satisfy the
above condition.
|
ARTICLE 21
Unspecified Issuers or
Contents of Documents
|
When documents other than transport documents,
insurance documents and commercial invoices are called for, the Credit
should stipulate by whom such documents are to be issued and their
wording or data content. If the Credit does not so stipulate, banks will
accept such documents as presented, provided that their data content is
not inconsistent with any other stipulated document presented
|
ARTICLE 22
Issuance Date of Documents Vs.
Credit Date
|
Unless otherwise stipulated in the Credit, banks will
accept a document bearing a date of issuance prior to that of the Credit,
subject to such document being presented within the time limits set out
in the Credit and in these Articles.
|
ARTICLE 23
Marine/Ocean Bill of Lading
|
- If a Credit calls for a
bill of lading covering a port to port shipment, banks will, unless
otherwise stipulated in the Credit, accept a document, however
named, which:
I
|
appears on its face to indicate the name of
the carrier and to have been signed or otherwise authenticated by:
the carrier or a named agent for or on behalf of the carrier, or
the master or a named agent for or on behalf of the master.
Any signature or authentication of the carrier or the master
must be identified as carrier or master, as the case may be. An agent
signing or authenticating for the carrier or master must also indicate
the name and the capacity of the party, i.e. carrier or master, on
whose behalf that agent is acting,
and
|
II
|
indicates that the goods have been loaded on
board, or shipped on a named vessel.
Loading on board or shipment on a named vessel may be indicated
by pre printed wording on the bill of lading that the goods have been
loaded on board a named vessel or shipped on a named vessel, in which
case the date of issuance of the bill of lading will be deemed to be
the date of loading on board and the date of shipment.
In all other cases loading on board a named vessel must be
evidenced by a notation on the bill of lading which gives the date on
which the goods have been loaded on board, in which case the date of
the board notation will be deemed to be the date of shipment.
If the bill of lading contains the indication "intended
vessel", or similar qualification in relation to the vessel,
loading on board a named vessel must be evidenced by
an on board notation on the bill of lading which, in addition to
the date on which the goods have been loaded on board, also includes
the name of the vessel on which the goods have been loaded, even if
they have been loaded on the vessel named as the "intended
vessel".
If the bill of lading indicates a place of receipt or taking in
charge different from the port of loading, the on board notation must
also include the port of loading stipulated in the Credit and the name
of the vessel on which the goods have been loaded, even if they have
been loaded on the vessel named in the bill of lading. This provision
also applies whenever loading on board the vessel is indicated by pre
printed wording on the bill of lading,
and
|
III
|
indicates the port of loading and the port of
discharge stipulated in the Credit, notwithstanding that it:
a. indicates a place of taking in charge different from the port
of loading, and/or a place of final destination different from the port
of discharge, and/or
b. contains the indication "intended" or similar
qualification in relation to the port of loading and/or port of
discharge, as long as the document also states the ports of loading
and/or discharge stipulated in the Credit,
and
|
IV
|
consists of a sole original bill of lading
or, if issued in more than one original, the full set as so issued, and
|
V
|
appears to contain all of the terms and
conditions of carriage, or some of such terms and conditions by
reference to a source or document other than the bill of lading (short
form/blank back bill of lading); banks will not examine the contents of
such terms and conditions,
and
|
VI
|
contains no indication that it is subject to
a charter party and/or no indication that the carrying vessel is
propelled by sail only,
and
|
VII
|
in all other respects meets the stipulations
of the Credit.
|
- For the purpose of this
Article, transshipment means unloading and reloading from one vessel
to another vessel during the course of ocean carriage from the port
of loading to the port of discharge stipulated in the Credit.
- Unless transshipment is
prohibited by the terms of the Credit, banks will accept a bill of
lading which indicates that the goods will be transshipped, provided
that the entire ocean carriage is covered by one and the same bill
of lading.
- Even if the Credit
prohibits transshipment, banks will accept a bill of lading which:
I
|
indicates that the transshipment will take
place as long as the relevant cargo is shipped in Container(s),
Trailer(s) and/or "LASH" barge(s) as evidenced by the bill of
lading, provided that the entire ocean carriage is covered by one and
the same bill of lading,
and/or
|
II
|
incorporates clauses stating that the carrier
reserves the right to transship.
|
|
ARTICLE 24
Non Negotiable Sea Waybill
|
- If a Credit calls for a
non negotiable sea waybill covering a port to port shipment, banks
will, unless otherwise stipulated in the Credit, accept a document,
however named, which:
I.
|
appears on its face to indicate the name of
the carrier and to have been signed or otherwise authenticated by:
the carrier or a named agent for or on behalf of the carrier, or
the master or a named agent for or on behalf of the master,
Any signature or authentication of the carrier or master must be
identified as carrier or master, as the case may be. An agent signing
or authenticating for the carrier or master must also indicate the name
and the capacity of the party, i.e. carrier or master, on whose behalf
that agent is acting,
and
|
II.
|
indicates that the goods have been loaded on
board, or shipped on a named vessel.
Loading on board or shipment on a named vessel may be indicated
by pre printed wording on the nonnegotiable sea waybill that the goods
have been loaded on board a named vessel or shipped on a named vessel,
in which case the date of issuance of the non negotiable sea waybill
will be deemed to be the date of loading on board and the date of
shipment.
In all other cases loading on board a named vessel must be
evidenced by a notation on the non negotiable sea waybill which gives
the date on which the goods have been loaded on board, in which case
the date of the on board notation will be deemed to be the date of
shipment.
If the non negotiable sea waybill contains the indication
"intended vessel", or similar qualification in relation to
the vessel, loading on board a named vessel must be evidenced by an on
board notation on the non negotiable sea waybill which, in addition to
the date on which the goods have been loaded on board, includes the
name of the vessel on which the goods have been loaded, even if they
have been loaded on the vessel named as the "intended vessel".
If the non negotiable sea waybill indicates a place of receipt
or taking in charge different from the port of loading, the on board
notation must also include the port of loading stipulated in the Credit
and the name of the vessel on which the goods have been loaded, even if
they have been loaded on a vessel named in the nonnegotiable sea
waybill. This provision also applies whenever loading on board the
vessel is indicated by pre printed wording on the non negotiable sea
waybill,
and
|
III.
|
indicates the port of loading and the port of
discharge stipulated in the Credit, notwithstanding that it:
a. indicates a place of taking in charge different from the port
of loading, and/or a place of final destination different from the port
of discharge,
and/or
b. contains the indication "intended" or similar
qualification in relation to the port of loading and/or port of
discharge, as long as the document also states the ports of loading
and/or discharge stipulated in the Credit,
and
|
IV.
|
consists of a sole original non negotiable
sea waybill, or if issued in more than one original, the full set as so
issued,
and
|
V.
|
appears to contain all of the terms and
conditions of carriage, or some of such terms and conditions by
reference to a source or document other than the nonnegotiable sea
waybill (short form/blank back nonnegotiable sea waybill); banks will
not examine the contents of such terms and conditions,
and
|
VI.
|
contains no indication that it is subject to
a charter party and/or no indication that the carrying vessel is
propelled by sail only,
and
|
VII.
|
in all other respects meets the stipulations
of the Credit.
|
- For the purpose of this
Article, transshipment means unloading and reloading from one vessel
to another vessel during the course of ocean carriage from the port
of loading to the port of discharge stipulated in the Credit.
- Unless transshipment is
prohibited by the terms of the Credit, banks will accept a non
negotiable sea waybill which indicates that the goods will be
transshipped, provided that the entire ocean carriage is covered by
one and the same non negotiable sea waybill.
- Even if the Credit
prohibits transshipment, banks will accept a non negotiable sea
waybill which:
I.
|
indicates that transshipment will take place
as long as the relevant cargo is shipped in Container(s), Trailer(s)
and/or "LASH" barge(s) as evidenced by the nonnegotiable sea
waybill, provided that the entire ocean carriage is covered by one and
the same non negotiable sea waybill,
and/or
|
II.
|
incorporates clauses stating that the carrier
reserves the right to transship.
|
|
ARTICLE 25
Charter
Party Bill of Lading
|
- If a Credit calls for
or permits a charter party bill of lading, banks will, unless
otherwise stipulated in the Credit, accept a document, however
named, which:
I.
|
contains any indication that it is subject
to a charter party,
and
|
II.
|
appears on its face to have been signed or
otherwise authenticated by:
the master or a named agent for or on behalf of the master, or
the owner or a named agent for or on behalf of the owner.
Any signature or authentication of the master or owner must be
identified as master or owner as the case may be. An agent signing or
authenticating for the master or owner must also indicate the name
and the capacity of the party, i.e. master or owner, on whose behalf
that agent is acting, and
|
III.
|
does or does not indicate the name of the
carrier,
and
|
IV.
|
indicates that the goods have been loaded
on board or shipped on a named vessel.
Loading on board or shipment on a named vessel may be indicated
by pre printed wording on the bill of lading that the goods have been
loaded on board a named vessel or shipped on a named vessel, in which
case the date of issuance of the bill of lading will be deemed to be
the date of loading on board and the date of shipment.
In all other cases loading on board a named vessel must be
evidenced by a notation on the bill of lading which gives the date on
which the goods have been loaded on board, in which case the date of
the on board notation will be deemed to be the date of shipment, and
|
V.
|
indicates the port of loading and the port
of discharge stipulated in the Credit,
and
|
VI.
|
consists of a sole original bill of lading
or, if issued in more than one original, the full set as so issued,
and
|
VII.
|
contains no indication that the carrying
vessel is propelled by sail only,
and
|
VIII.
|
in all other respects meets the
stipulations of the Credit.
|
- Even if the Credit
requires the presentation of a charter party contract in
connection with a charter party bill of lading, banks will not
examine such charter party contract, but will pass it on without
responsibility on their part.
|
Article 26
Multimodal
Transport Document
|
- If a Credit calls for
a transport document covering at least two different modes of
transport (multimodal transport), banks will, unless otherwise
stipulated in the Credit, accept a document, however named,
which:
I
|
appears on its face to indicate the name
of the carrier or multimodal transport operator and to have been
signed or otherwise authenticated by:
the carrier or multimodal transport operator or
a named agent for or on behalf of the carrier or multimodal
transport operator, or
the master or a named agent for or on behalf of
the master.
Any signature or authentication of the carrier,
multimodal transport operator or master must be identified as
carrier, multimodal transport operator or master, as the case may
be. An agent signing or authenticating for the carrier, multimodal
transport operator or master must also indicate the name and the capacity
of the party, i.e. carrier, multimodal transport operator or
master, on whose behalf that the agent is acting,
and
|
II
|
indicates that the goods have been
dispatched, taken in charge or loaded on board.
Dispatch, taking in charge or loading on board may
be indicated by wording to that effect on the multimodal transport
document and the date of issuance will be deemed to be the date of
dispatch, taking in charge or loading on board and the date of
shipment. However, if the document indicates, by stamp or
otherwise, a date of dispatch, taking in charge or loading on
board, such date will be deemed to be the date of shipment,
and
|
III
|
a. indicates the place of taking in
charge stipulated in the Credit which may be different from the
port, airport or place of loading, and the place of final
destination stipulated in the Credit which may be different from
the port, airport or place of discharge,
and/or
b. contains the indication "intended"
or similar qualification in relation to the vessel and/or port of
loading and/or port of discharge,
and
|
IV
|
consists of a sole original multimodal
transport document or, if issued in more than one original, the
full set as so issued,
<
and
|
V
|
appears to contain all of the terms and
conditions of carriage, or some of such terms and conditions by
reference to a source or document other than the multimodal
transport document (short form/blank back multimodal transport
document); banks will not examine the contents of such terms and
conditions,
and
|
VI
|
contains no indication that it is subject
to a charter party and/or no indication that the carrying vessel is
propelled by sail only, and
|
VII
|
in all other respects meets the
stipulations of the Credit.
· Even if the Credit prohibits
transshipment, banks will accept a multimodal transport document
which indicates that transshipment will or may take place, provided
that the entire carriage is covered by one and the same multimodal
transport document.
|
|
ARTICLE 27
Air
Transport Document
|
- If a Credit calls for
an air transport document, banks will, unless otherwise
stipulated in the Credit, accept a document, however named,
which:
I
|
appears on its face to indicate the name
of the carrier and to have been signed or otherwise authenticated
by:
the carrier, or
a named agent for or on behalf of the carrier.
Any signature or authentication of the carrier
must be identified as carrier. An agent signing or authenticating
for the carrier must also indicate the name and the capacity of the
party, i.e. carrier, on whose behalf that agent is acting,
and
|
II
|
indicates that the goods have been
accepted for carriage,
and
|
III
|
where the Credit calls for an actual date
of dispatch, indicates a specific notation of such date, the date
of dispatch so indicated on the air transport document will be
deemed to be the date of shipment.
For the purpose of this Article, the information
appearing in the box on the air transport document (marked
"For Carrier Use Only" or similar expression) relative to
the flight number and date will not be considered as a specific
notation of such date of dispatch.
In all other cases, the date of issuance of the
air transport document will be deemed to be the date of shipment,
and
|
IV
|
indicates the airport of departure and
the airport of destination stipulated in the Credit,
and
|
V
|
appears to be the original for
consignor/shipper even if the Credit stipulates a full set of
originals, or similar expressions,
and
|
VI
|
appears to contain all of the terms and
conditions of carriage, or some of such terms and conditions, by
reference to a source or document other than the air transport
document; banks will not examine the contents of such terms and
conditions,
and
|
VII
|
in all other respects meets the
stipulations of the Credit.
|
- For the purpose of
this Article, transshipment means unloading and reloading from
one aircraft to another aircraft during the course of carriage
from the airport of departure to the airport of destination
stipulated in the Credit.
- Even if the Credit
prohibits transshipment, banks will accept an air transport
document which indicates that transshipment will or may take
place, provided that the entire carriage is covered by one and
the same air transport document.
|
ARTICLE 28
Road,
Rail or inland Waterway Documents
|
- If a Credit calls for
a road, rail, or inland waterway transport document, banks will,
unless otherwise stipulated in the Credit, accept a document of
the type called for, however named, which:
I.
|
appears on its face to indicate the name
of the carrier and to have been signed or otherwise authenticated
by the carrier or a named agent for or on behalf of the carrier
and/or to bear a reception stamp or other indication of receipt by
the carrier or a named agent for or on behalf of the carrier.
Any signature, authentication, reception stamp
or other indication of receipt of the carrier, must be identified
on its face as that of the carrier. An agent signing or
authenticating for the carrier must also indicate the name and the
capacity of the party, i.e. carrier, on whose behalf that agent is
acting,
and
|
II.
|
indicates that the goods have been
received for shipment, dispatch or carriage or wording to this
effect. The date of issuance will be deemed to be the date of
shipment unless the transport document contains a reception stamp,
in which case the date of the reception stamp will be deemed to be
the date of shipment, and
|
III.
|
indicates the place of shipment and the
place of destination stipulated in the Credit,
and
|
IV.
|
in all other respects meets the
stipulations of the Credit.
|
- In the absence of any
indication on the transport document as to the numbers issued,
banks will accept the transport document(s) presented as
constituting a full set. Banks will accept as original(s) the
transport document(s) whether marked as original(s) or not.
- For the purpose of
this Article, transshipment means unloading and reloading from
one means of conveyance to another means of conveyance, in
different modes of transport, during the course of carriage from
the place of shipment to the place of destination stipulated in
the Credit.
- Even if the Credit
prohibits transshipment, banks will accept a road, rail, or
inland waterway transport document which indicates that
transshipment will or may take place, provided that the entire
carriage is covered by one and the same transport document and
within the same mode of transport.
|
ARTICLE 29
Courier
and Post Receipts
|
- If a Credit calls for
a post receipt or certificate of posting, banks will, unless
otherwise stipulated in the Credit, accept a post receipt or certificate
of posting which:
I.
|
appears on its face to have been stamped
or otherwise authenticated and dated in the place from which the
Credit stipulates the goods are to be shipped or dispatched and
such date will be deemed to be the date of shipment or dispatch,
and
|
II.
|
in all other respects meets the
stipulations of the Credit.
|
- If a Credit calls for
a document issued by a courier or expedited delivery service
evidencing receipt of the goods for delivery, banks will, unless
otherwise stipulated in the Credit, accept a document, however
named, which:
I.
|
appears on its face to indicate the name
of the courier/ service, and to have been stamped, signed or
otherwise authenticated by such named courier/service (unless the
Credit specifically calls for a document issued by a named
Courier/Service, banks will accept a document issued by any
Courier/Service),
and
|
II.
|
indicates a date of pick up or of receipt
or wording to this effect, such date being deemed to be the date of
shipment or dispatch,
and
|
III.
|
in all other respects meets the
stipulations of the Credit.
|
|
ARTICLE 30
Transport
Documents issued by Freight Forwarders
|
Unless otherwise authorized in the Credit, banks will only
accept a transport document issued by a freight forwarder if it
appears on its face to indicate:
I.
|
the name of the freight forwarder as a
carrier or multimodal transport operator and to have been signed or
otherwise authenticated by the freight forwarder as carrier or
multimodal transport operator,
or
|
II.
|
the name of the carrier or multimodal
transport operator and to have been signed or otherwise
authenticated by the freight forwarder as a named agent for or on
behalf of the carrier or multimodal transport operator.
|
|
ARTICLE 31
"On
Deck", "Shipper's Load and Count", Name of Consignor
|
Unless otherwise stipulated in the Credit, banks will accept a
transport document which:
I.
|
does not indicate, in the case of
carriage by sea or by more than one means of conveyance including
carriage by sea, that the goods are or will be loaded on deck.
Nevertheless, banks will accept a transport document which contains
a provision that the goods may be carried on deck, provided that it
does not specifically state that they are or will be loaded on
deck,
and/or
|
II.
|
bears a clause on the face thereof such
as "shipper's load and count" or "said by shipper to
contain" or words of similar effect,
and/or
|
III.
|
indicates as the consignor of the goods a
party other than the Beneficiary of the Credit.
|
|
ARTICLE 32
Clean
Transport Documents
|
- A clean transport
document is one which bears no clause or notation which
expressly declares a defective condition of the goods and/or the
packaging.
- Banks will not accept
transport documents bearing such clauses or notations unless the
Credit expressly stipulates the clauses or notations which may
be accepted.
- Banks will regard a
requirement in a Credit for a transport document to bear the
clause "clean on board" as complied with if such
transport document meets the requirements of this Article and of
Articles 23, 24, 25, 26, 27, 28 or 30.
|
ARTICLE 33
Freight
Payable/Prepaid Transport Documents
|
- Unless otherwise
stipulated in the Credit, or inconsistent with any of the
documents presented under the Credit, banks will accept
transport documents stating that freight or transportation
charges (hereafter referred to as "freight") have
still to be paid.
- If a Credit
stipulates that the transport document has to indicate that
freight has been paid or prepaid, banks will accept a transport
document on which words clearly indicating payment or prepayment
of freight appear by stamp or otherwise, or on which payment or
prepayment of freight is indicated by other means. If the Credit
requires courier charges to be paid or prepaid banks will also
accept a transport document issued by a courier or expedited
delivery service evidencing that the courier charges are for the
account of a party other than the consignee.
- The words
"freight prepayable" or "freight to be
prepaid" or words of similar effect, if appearing on transport
documents, will not be accepted as constituting evidence of the
payment of freight.
- Banks will accept
transport documents bearing reference by stamp or otherwise to
costs additional to the freight, such as costs of, or
disbursements incurred in connection with, loading, unloading or
similar operations, unless the conditions of the Credit
specifically prohibit such reference
|
ARTICLE 34
Insurance
Documents
|
- Insurance documents
must appear on their face to be issued and signed by insurance
companies or underwriters or their agents.
- If the insurance
document indicates that it has been issued in more than one
original, all the originals must be presented unless otherwise
authorized in the Credit.
- Cover notes issued by
brokers will not be accepted, unless specifically authorized in
the Credit.
- Unless otherwise
stipulated in the Credit, banks will accept an insurance
certificate or a declaration under an open cover pre signed by
insurance companies or underwriters or their agents. If a Credit
specifically calls for an insurance certificate or a declaration
under an open cover, banks will accept, in lieu thereof, an
insurance policy.
- Unless otherwise
stipulated in the Credit, or unless it appears from the
insurance document that the cover is effective at the latest
from the date of loading on board or dispatch or taking in
charge of the goods, banks will not accept an insurance document
which bears a date of issuance later than the date of loading on
board or dispatch or taking in charge as indicated in such
transport document.
- Unless otherwise
stipulated in the Credit, the insurance document must be
expressed in the same currency as the Credit.
- Unless otherwise
stipulated in the Credit, the minimum amount for which the
insurance document must indicate the insurance cover to have
been effected is the CIF (cost, insurance and freight
(..."named port of destination")) or CIP (carriage and
insurance paid to (..."named place of destination"))
value of the goods, as the case may be, plus 10%, but only when
the CIF or CIP value can be determined from the documents on
their face. Otherwise, banks will accept as such minimum amount
110% of the amount for which payment, acceptance or negotiation
is requested under the Credit, or 110% of the gross amount of
the invoice, whichever is the greater.
|
ARTICLE 35
Type
of Insurance Cover
|
- Credits should
stipulate the type of insurance required and, if any, the
additional risks which are to be covered. Imprecise terms such
as "usual risks" or "customary risks" shall
not be used; if they are used, banks will accept insurance
documents as presented, without responsibility for any risks not
being covered.
- Failing specific
stipulations in the Credit, banks will accept insurance
documents as presented, without responsibility for any risks not
being covered.
- Unless otherwise
stipulated in the Credit, banks will accept an insurance
document which indicates that the cover is subject to a
franchise or an excess (deductible).
|
ARTICLE 36
All
Risks Insurance Cover
|
Where a Credit stipulates "insurance against all
risks", banks will accept an insurance document which contains
any "all risks" notation or clause, whether or not bearing
the heading "all risks", even if the insurance document
indicates that certain risks are excluded, without responsibility for
any risk(s) not being covered.
|
ARTICLE 37
Commercial
Invoices
|
- Unless otherwise
stipulated in the Credit, commercial invoices;
I.
|
must appear on their face to be issued by
the Beneficiary named in the Credit (except as provided in Article
48),
and
|
II.
|
must be made out in the name of the
Applicant (except as provided in sub Article 48 (H)),
and
|
III.
|
need not be signed.
|
- Unless otherwise
stipulated in the Credit, banks may refuse commercial invoices
issued for amounts in excess of the amount permitted by the
Credit. Nevertheless, if a bank authorized to pay, incur a
deferred payment undertaking, accept Draft(s), or negotiate
under a Credit accepts such invoices, its decision will be
binding upon all parties, provided that such bank has not paid,
incurred a deferred payment undertaking, accepted Draft(s) or
negotiated for an amount in excess of that permitted by the
Credit.
- The description of
the goods in the commercial invoice must correspond with the
description in the Credit. In all other documents, the goods may
be described in general terms not inconsistent with the
description of the goods in the Credit.
|
ARTICLE 38
Other
Document
|
If a Credit calls for an attestation or certification of
weight in the case of transport other than by sea, banks will accept
a weight stamp or declaration of weight which appears to have been
superimposed on the transport document by the carrier or his agent
unless the Credit specifically stipulates that the attestation or
certification of weight must be by means of a separate document.
|
ARTICLE 39
Allowances
in Credit Amount, Quantity and Unit Price
|
- The words
"about", "approximately", "circa"
or similar expressions used in connection with the amount of the
Credit or the quantity or the unit price stated in the Credit
are to be construed as allowing a difference not to exceed 10%
more or 10% less than the amount or the quantity or the unit
price to which they refer.
- Unless a Credit
stipulates that the quantity of the goods specified must not be
exceeded or reduced, a tolerance of 5% more or 5% less will be
permissible, always provided that the amount of the drawings
does not exceed the amount of the Credit. This tolerance does
not apply when the Credit stipulates the quantity in terms of a
stated number of packing units or individual items.
- Unless a Credit which
prohibits partial shipments stipulates otherwise, or unless sub
Article (B) above is applicable, a tolerance of 5% less in the
amount of the drawing will be permissible, provided that if the
Credit stipulates the quantity of the goods, such quantity of
goods is shipped in full, and if the Credit stipulates a unit
price, such price is not reduced. This provision does not apply
when expressions referred to in sub Article (A) above are used
in the Credit.
|
MISCELLANEOUS
PROVISIONS
ARTICLE 40
Partial
Shipments/Drawings
|
- Partial drawings
and/or shipments are allowed, unless the Credit stipulates
otherwise.
- Transport documents
which appear on their face to indicate that shipment has been made
on the same means of conveyance and for the same journey,
provided they indicate the same destination, will not be
regarded as covering partial shipments, even if the transport
documents indicate different dates of shipment and/or different
ports of loading, places of taking in charge, or dispatch.
- Shipments made by
post or by courier will not be regarded as partial shipments if
the post receipts or certificates of posting or courier's
receipts or dispatch notes appear to have been stamped, signed
or otherwise authenticated in the place from which the Credit
stipulates the goods are to be dispatched, and on the same date.
|
ARTICLE 41
Installment
Shipments/Drawings
|
- All Credits must
stipulate an expiry date and a place for presentation of
documents for payment, acceptance, or with the exception of
freely negotiable Credits, a place for presentation of documents
for negotiation. An expiry date stipulated for payment,
acceptance or negotiation will be construed to express an expiry
date for presentation of documents.
- Except as provided in
sub Article 44(A), documents must be presented on or before such
expiry date.
- If an Issuing Bank
states that the Credit is to be available "for one
month", "for six months", or the like, but does
not specify the date from which the time is to run, the date of
issuance of the Credit by the Issuing Bank will be deemed to be
the first day from which such time is to run. Banks should
discourage indication of the expiry date of the Credit in this
manner.
|
ARTICLE 42
Expiry
Date and Place for Presentation of Documents
|
- All Credits must
stipulate an expiry date and a place for presentation of
documents for payment, acceptance, or with the exception of
freely negotiable Credits, a place for presentation of documents
for negotiation. An expiry date stipulated for payment,
acceptance or negotiation will be construed to express an expiry
date for presentation of documents.
- Except as provided in
sub Article 44(A), documents must be presented on or before such
expiry date.
- If an Issuing Bank
states that the Credit is to be available "for one
month", "for six months", or the like, but does
not specify the date from which the time is to run, the date of
issuance of the Credit by the Issuing Bank will be deemed to be
the first day from which such time is to run. Banks should
discourage indication of the expiry date of the Credit in this
manner.
|
ARTICLE 43
Limitation
on the Expiry Date
|
- In addition to
stipulating an expiry date for presentation of documents, every
Credit which calls for a transport document(s) should also
stipulate a specified period of time after the date of shipment
during which presentation must be made in compliance with the
terms and conditions of the Credit. If no such period of time is
stipulated, banks will not accept documents presented to them
later than 21 days after the date of shipment. In any event,
documents must be presented not later than the expiry date of
the Credit.
- In cases in which sub
Article 40(B) applies, the date of shipment will be considered
to be the latest shipment date on any of the transport documents
presented.
|
ARTICLE 44
Extension
of Expiry Date
|
- If the expiry date of
the Credit and/or the last day of the period of time for
presentation of documents stipulated by the Credit or applicable
by virtue of Article 43 falls on a day on which the bank to
which presentation has to be made is closed for reasons other
than those referred to in Article 17, the stipulated expiry date
and/or the last day of the period of time after the date of shipment
for presentation of documents, as the case may be, shall be
extended to the first following day on which such bank is open.
- The latest date for
shipment shall not be extended by reason of the extension of the
expiry date and/or the period of time after the date of shipment
for presentation of documents in accordance with sub Article (A)
above. If no such latest date for shipment is stipulated in the
Credit or amendments thereto, banks will not accept transport
documents indicating a date of shipment later than the expiry
date stipulated in the Credit or amendments thereto.
- The bank to which
presentation is made on such first following business day must
provide a statement that the documents were presented within the
time limits extended in accordance with sub Article 44(A) of the
Uniform Customs and Practice for Documentary Credits, 1993
Revision, ICC Publication No. 500.
|
ARTICLE 45
Hours
of Presentation
|
Banks are under no obligation to accept presentation of
documents outside their banking hours.
|
ARTICLE 46
General
Expressions as to Dates for Shipment
|
- Unless otherwise
stipulated in the Credit, the expression "shipment"
used in stipulating an earliest and/or a latest date for
shipment will be understood to include expressions such as,
"loading on board", "dispatch",
"accepted for carriage", "date of post
receipt", "date of pick up", and the like, and
the case of a Credit calling for a multimodal transport document
the expression "taking in charge".
- Expressions such as
"prompt", "immediately", "as soon as
possible", and the like should not be used. If they are
used banks will disregard them.
- If the expression
"on or about" or similar expressions are used, banks
will interpret them as a stipulation that the shipment is to be
made during the period from five days before to five days after
the specified date, both end days included.
|
ARTICLE 47
Date
Terminology for Periods of Shipment
|
- The words
"to", "until", "till",
"from" and words of similar import applying to any
date or period in the Credit referring to shipment will be
understood to include the date mentioned.
- The word
"after" will be understood to exclude the date
mentioned.
- The terms "first
half', "second half of a month shall be construed
respectively as the 1st to the 15th, and the 16th to the last
day of such month, all dates inclusive.
- D. The terms
"beginning", "middle", or "end" of
a month shall be construed respectively as the 1st to the 10th,
the 11th to the 20th, and the 21st to the last day of such
month, all dates inclusive.
|
ARTICLE 48
Transferable
Credit
|
- A transferable Credit
is a Credit under which the Beneficiary (First Beneficiary) may
request the bank authorized to pay, incur a deferred payment
undertaking, accept or negotiate (the "Transferring
Bank"), or in the case of a freely negotiable Credit, the
bank specifically authorized in the Credit as a Transferring
Bank, to make the Credit available in whole or in part to one or
more other Beneficiary(ies) (Second Beneficiary(ies)).
- A Credit can be
transferred only if it is expressly designated as
"transferable" by the Issuing Bank. Terms such as
"divisible", "fractionable",
"assignable", and "transmissible" do not
render the Credit transferable. If such terms are used they
shall be disregarded.
- The Transferring Bank
shall be under no obligation to effect such transfer except to
the extent and in the manner expressly consented to by such
bank.
- At the time of making
a request for transfer and prior to transfer of the Credit, the
First Beneficiary must irrevocably instruct the Transferring
Bank whether or not he retains the right to refuse to allow the
Transferring Bank to advise amendments to the Second
Beneficiary(ies). If the Transferring Bank consents to the
transfer under these conditions, it must, at the time of transfer,
advise the Second Beneficiary(ies) of the First Beneficiary's
instructions regarding amendments.
- If a Credit is
transferred to more than one Second Beneficiary(ies), refusal of
an amendment by one or more Second Beneficiary(ies) does not
invalidate the acceptance(s) by the other Second
Beneficiary(ies) with respect to whom the Credit will be amended
accordingly. With respect to the Second Beneficiary(ies) who
rejected the amendment, the Credit will remain unammended.
- Transferring Bank
charges in respect of transfers including commissions, fees,
costs or expenses are payable by the First Beneficiary, unless
otherwise agreed. If the Transferring Bank agrees to transfer
the Credit it shall be under no obligation to effect the
transfer until such charges are paid.
- Unless otherwise
stated in the Credit, a transferable Credit can be transferred
once only. Consequently, the Credit cannot be transferred at the
request of the Second Beneficiary to any subsequent Third
Beneficiary. For the purpose of this Article, a retransfer to
the First Beneficiary does not constitute a prohibited transfer.
Fractions of a transferable Credit (not exceeding in the
aggregate the amount of the Credit) can be transferred separately,
provided partial shipment/drawings are not prohibited, and the
aggregate of such transfers will be considered as constituting only
one transfer of the Credit.
- The Credit can be
transferred only on the terms and conditions specified in the
original Credit, with the exception of:
-
|
The amount of the Credit.
|
-
|
Any unit price stated therein.
|
-
|
The expiry date.
|
-
|
The last date for presentation of
documents in accordance with Article 43.
|
-
|
The period for shipment, any or all of
which may be reduced or curtailed.
|
-
|
The percentage for which insurance cover
must be effected may be increased in such a way as to provide the
amount of cover stipulated in the original Credit, or these
Articles.
|
-
|
In addition, the name of the First
Beneficiary can be substituted for that of the Applicant, but if
the name of the Applicant is specifically required by the original
Credit to appear in any document(s) other than the invoice, such
requirement must be fulfilled.
|
- The First Beneficiary
has the right to substitute his own invoice(s) (and Draft(s))
for those of the Second Beneficiary(ies), for amounts not in
excess of the original amount stipulated in the Credit and for
the original unit prices if stipulated in the Credit, and upon
such substitution of invoice(s) (and Draft(s)) the First
Beneficiary can draw under the Credit for the difference, if
any, between his invoice(s) and the Second Beneficiaries(ies')
invoice(s).
When a Credit has been transferred and the First Beneficiary
is to supply his own invoice(s) (and Draft(s)) in exchange for the
Second Beneficiary's(ies') invoices(s) (and Draft(s)) but fails to do
so on first demand, the Transferring Bank has the right to deliver to
the Issuing Bank the documents received under the transferred Credit,
including the Second Beneficiary's(ies') invoice(s) (and Draft(s)) without
further responsibility to the First Beneficiary.
- The First Beneficiary
may request that payment or negotiation be effected to the
Second Beneficiary(ies) at the place to which the Credit has
been transferred up to and including the expiry date of the
Credit, unless the original Credit expressly states that it may
not be made available for payment or negotiation at a place
other than that stipulated in the Credit. This is without
prejudice to the First Beneficiary's right to substitute
subsequently his own invoice(s) (and Draft(s)) for those of the
Second Beneficiary(ies) and to claim any difference due to him.
|
ARTICLE 49
Assignment
of Proceeds
|
The fact that a Credit is not stated to be transferable shall
not affect the Beneficiary's right to assign any proceeds to which he
may be, or may become, entitled under such Credit, in accordance with
the provisions of the applicable law. This Article relates only to
the assignment of proceeds and not to the assignment of the right to
perform under the Credit itself.
|
|
|
|
|
|
|
|