A L/c which prohibits partial shipments states at the description of goods ' shelves' without mentioning any quantity or making reference to the tolerance amount.
A set of documents was presented for less than L/C value stating 2000 pcs shelves at unit price xx but within -5% tolerance.
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Is the article 30 b or c applicable so that could be raised discrepancy 'partial shipment effected' as long as the credit did not state the no. of pieces but the goods by their nature could not be shipped otherwise than in pieces?
The said article deals with situation when the credit itself expressly state the quantity in number of pieces but the same article is silent regarding the situation when qty was not stated but cannot be delivered in other units than individual items.
Thanks and regards
c
Whether UCP600 Article 30b Or c Could Be Applied
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no discrepancy.
Hi,
In my opinion, despite quantity not mentioned in the L/C, by its nature it would be stated in pcs in case it was stated. For that reason 30b cannot be applied to this l/c. For 30c to be applied, the goods must be fully shipped and unit price must not be reduced. Since neither mentioned in the L/C, we assume that goods fully shipped and the total amount of goods within 5 % tolerence. We cannot raise discrepancy.
Other comments appreciated.
In my opinion, despite quantity not mentioned in the L/C, by its nature it would be stated in pcs in case it was stated. For that reason 30b cannot be applied to this l/c. For 30c to be applied, the goods must be fully shipped and unit price must not be reduced. Since neither mentioned in the L/C, we assume that goods fully shipped and the total amount of goods within 5 % tolerence. We cannot raise discrepancy.
Other comments appreciated.
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Partially agree
Dear Navi
Actually agree with you that strictly taking the words of UCP 600, no discrepancy could be raised. However, regardless the absence of qty in L/C, as the value of L/C covers a goods than could be shipped only in individual items, one could raise the following question: if the value is underdrawn, this would correspond with a partial shipment of goods which could not be accepted when goods are shipped by their nature in individual items? I feel that such issue is actually a gap in UCP600. The absence of qty in L/C when the goods are by their nature in individual items should not produce a different result comparing with an L/C which states the quantity. If one "mirrors" such 2 scenarios (2 L/Cs one with qty one without and both with same goods description) would find very strange that one set to be discrepant and one not.
Thanks for sharing your toughs! It may be the correct solution !
Regards
C
Actually agree with you that strictly taking the words of UCP 600, no discrepancy could be raised. However, regardless the absence of qty in L/C, as the value of L/C covers a goods than could be shipped only in individual items, one could raise the following question: if the value is underdrawn, this would correspond with a partial shipment of goods which could not be accepted when goods are shipped by their nature in individual items? I feel that such issue is actually a gap in UCP600. The absence of qty in L/C when the goods are by their nature in individual items should not produce a different result comparing with an L/C which states the quantity. If one "mirrors" such 2 scenarios (2 L/Cs one with qty one without and both with same goods description) would find very strange that one set to be discrepant and one not.
Thanks for sharing your toughs! It may be the correct solution !
Regards
C
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ISBP
In the light of paragraph C14 of ISBP, there should be no discrepancy when qty of goods has not been stated in the credit (even if invoice shows goods shipped in individual items)
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badly issued LC
Hi CristianD,
Yes, C14 ends the discussion . No discrepancy.
But anyway, I think L/C is not issued properly. If I were acting as applicant, I would not let issuing bank to state goods description in a word, without further details, such as quantity.
regards
Yes, C14 ends the discussion . No discrepancy.
But anyway, I think L/C is not issued properly. If I were acting as applicant, I would not let issuing bank to state goods description in a word, without further details, such as quantity.
regards