Presentation under confirm mix payment

[TradeLaporte]

Hello members
I have following scenario where Issuing refuses payment
80percent already paid .
LC mix payment 80% at sight against shipping docs
10% sight against signed beneficiary’s certificate and accepted by applicant.
10% against applicant’s certificate accepting completion of all mechanical construction.

Presenting bank presented one beneficiary’s certificate for 20% of LC value in another language than english.

Issuing bank refused payment indicating that the certificate is not in accordance with Letter of Credit.

Will you consider this a valid discrepancy?
Should the presenting bank include two certificates, one issued by beneficiary for 10percent and another issued by applicant for remaining 10percent?

Should the certificates be issued in the same language of the credit i.e English?

Your comments are highly appreciated

[picant]

Hi Pal,

two different certificates are required, or at least only one containing all details and signatures but
presented in two originals.(ISBP 745 par. A41)
Language see ISBP 745 A 21 b, and c, if so communicated to beneficiary.
Other comments appreciated
Ciao

[TradeLaporte]

Thanks Picant

Even the LC required a se ind certificate issued by the Applicant . On certificate issue by the beneficiary and signe by the applicant will be acceptable?

Thanks again for your valuable comments

[dinesh2476]

Hi,

For the last 10% payment, beneficiary does not have control over payment and LC with such condition should be discouraged. LC may include additional condition apart from applicant certificate that xxxx days from shipment date.... whichever is earlier( this way beneficiary may take control over payments)

with regard to adding confirmation, bank can add confirmation now for the 90% and post clarification, they can add confirmation for the remaining period.

Thanks & Regards
Dinesh