Advising Bank of a Transferred Credit

hachem · Post by **hachem** » Fri May 16, 2014 7:35 pm

Dear expert,

Sub-article 38(j) stipulates that honour or negotiation may be effected to a bank at the second beneficiary country. Should we consider that bank as a nominated bank or not?

Your comments
Regards
H Jallouli

Anurag · Post by **Anurag** » Tue May 20, 2014 11:12 am

Yes, if the advising bank has confirmed the l/c, on presentation of comply documents, bank will honour or negotiate & in this stiuation that bank is known as nominated bank,

hachem · Post by **hachem** » Wed May 21, 2014 1:54 am

Hi Anurag,

A nominated bank may honour or negotiate a presentation without being a confirmaing bank as per sub article12 of UCP600.
My query is the following: if honour or negotiation may be effected to a bank at the second beneficiary bank country, why the the sub artice38(j) does not qualify that bank as a nominated bank?

Regards
H Jallouli