Bank Guarantee in paper form

With the introduction of Uniform Rules for Documentary Guarantee or URDG 758, the rules for Documentary Guarantee seem to be popular again. It can be imagined from the increasing number of questions that have popped up in recent days. Documentary Guarantee Forum is an effort to develop a platform to discuss these questions.
Post Reply
User avatar
picant
Posts: 1942
Joined: Wed Aug 20, 2008 1:49 pm

Bank Guarantee in paper form

Post by picant »

Hi Pals,

we found difficulties in obtaining our bank guarantee, issued in paper form, when expired.
We wrote, naturally, that the validity will cease on the expiry date, even if the guarantee
has been not returned to us.
To mitigate this risk we decide to insert this sentence as post scriptum, after the signature:

Eventual claim must be submitted through a bank, that will pre-advise us by SWIFT,
stating that the claimant signatures are correct and legally binding.
This attachment is for information purposes only and not part of the
terms and conditions of the guarantee.
..
What is your opinion about this notice?
Thanks and regards
jinugu
Posts: 10
Joined: Sun Sep 14, 2008 2:40 pm

Re: Bank Guarantee in paper form

Post by jinugu »

Hi IMHO since you have stated that it is for information purpose only - the beneficiary is not obliged to present their claim through a bank. There might be situations where the advising bank simply advises and doesnt play any role other than that. Jinugu
User avatar
picant
Posts: 1942
Joined: Wed Aug 20, 2008 1:49 pm

Re: Bank Guarantee in paper form

Post by picant »

Hi Pal,

Those are suggestions for the use, if not followed they are always part of the document.
A lawyer may takes benefit from them.
The addendum has been observed in documents provided by Nordea Bank.
Ciao
Post Reply