Dear Expert,
May I ask for your opinion of the following :
L/C called for
- full set clean on board ocean bill of lading , consigned to order, blank endorsed.
LC field 45A goods description :
BLEACHED SOFTWOOD KRAFT PULP
QUANTITY: 1000 ADMT
Invoice presented showing BLEACHED SOFTWOOD KRAFT PULP
QUANTITY: 994.781 ADMT
B/L presented showing BLEACHED SOFTWOOD KRAFT PULP
QUANTITY: 994.780 ADMT
ISSUING BANK CLAIMED DISCREPANCY OF :
B/L presented showing QUANTITY 994.780 ADMT instead of
QUANTITY 994.781 ADMT
Please comment whether a TYPING ERROR on B/L in this case is acceptable or not?
And whether any ICC opinion, DOCDEX referring this issue.
Thank you for your assistance.
Regards,
ucp800
Typing Error In Quantity And Weight On Bill Of Lading
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ucp800
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Anurag
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Referring ICC opinion if it is workable
ICC OPINION NO.470/TA786 rev2
401. ICC Banking commission opinion (TA 786 R2): Applicable article 14(d) & 30(b) – Description of goods VISCOSE STAPLE FIBER 1.2 D X 32 MM BRIGHT QUANTITY: 500,000 KGS UNIT PRICE: 1.84 USD/KG . Quantity shipped as per B/L and certificate of origin 504,402 gross weight & 501604.80 net weight, whatever commercial invoice is showing commercial & wegith list is showing commercial weight 513,828 under which calculation is based.
It should be consider as a discrepancy or not: This is not a discrepancy because article 14d says – data in a documents when read in the contest must not be conflict data stated in other documents as per UCP 600 & International standard banking & practice & 30 (b) says quantity of the goods may (+/-5%) provided the total amount of the drawing does not exceed the amount permitted in the credit, in amount tolerance is allowed upto (+/-5%).
In this case L/c is not stated which weight should be consider for the calculation, this is responsibility of the issuing bank to state whether commercial weight to be consider for calculation or weight shipped should be consider for calculation.
The commercial invoice is based on commercial weight so there is no conflict in the weight & credit is not stated gross & net weight need to appear on the commercial invoice.
There is no discrepancy. This depends upon case to case basis.
For information: Commercial weight showing for calculation in fiber industries are common, because dry weight does not include the moisture, & commercial weight is the weight which include the moisture.
Conclusion
Based on the Analysis above, the commercial invoice is acceptable in terms of the quantity invoiced and the calculation of the invoice amount.
Other comments are appreciated.
401. ICC Banking commission opinion (TA 786 R2): Applicable article 14(d) & 30(b) – Description of goods VISCOSE STAPLE FIBER 1.2 D X 32 MM BRIGHT QUANTITY: 500,000 KGS UNIT PRICE: 1.84 USD/KG . Quantity shipped as per B/L and certificate of origin 504,402 gross weight & 501604.80 net weight, whatever commercial invoice is showing commercial & wegith list is showing commercial weight 513,828 under which calculation is based.
It should be consider as a discrepancy or not: This is not a discrepancy because article 14d says – data in a documents when read in the contest must not be conflict data stated in other documents as per UCP 600 & International standard banking & practice & 30 (b) says quantity of the goods may (+/-5%) provided the total amount of the drawing does not exceed the amount permitted in the credit, in amount tolerance is allowed upto (+/-5%).
In this case L/c is not stated which weight should be consider for the calculation, this is responsibility of the issuing bank to state whether commercial weight to be consider for calculation or weight shipped should be consider for calculation.
The commercial invoice is based on commercial weight so there is no conflict in the weight & credit is not stated gross & net weight need to appear on the commercial invoice.
There is no discrepancy. This depends upon case to case basis.
For information: Commercial weight showing for calculation in fiber industries are common, because dry weight does not include the moisture, & commercial weight is the weight which include the moisture.
Conclusion
Based on the Analysis above, the commercial invoice is acceptable in terms of the quantity invoiced and the calculation of the invoice amount.
Other comments are appreciated.