Hi,
We had a Standby LC and we have submitted documents for negotiation just 2 days prior to expiry, but applicant bank has notify one discrepancy in document after expiry of LC. Later we have submitted corrected document in 2 days, but bank is saying customer has to accept discrepancy, we are waiting for the payment for last two months but not yet received. Customer is not accepting discrepancy, bank is keep silent now.
What I can do in this regards, can anyone advise..?
LC Discrepancy noticed after Expiry
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richust
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picant
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Re: LC Discrepancy noticed after Expiry
Hi Pal,
normally SBLC is covering a patologic situation, applicant did not pay and the beneficiary asks money to the guarantor. So it is quite clear that no waiver by the applicant is possible. A bank has 5 days max.to check documents, but you may sue the bank if few documents were necessary to avail the SBLC, this outside the ICC Rules.
Other comments appreciated
Ciao
normally SBLC is covering a patologic situation, applicant did not pay and the beneficiary asks money to the guarantor. So it is quite clear that no waiver by the applicant is possible. A bank has 5 days max.to check documents, but you may sue the bank if few documents were necessary to avail the SBLC, this outside the ICC Rules.
Other comments appreciated
Ciao