Best Trade Solution

We recently had such a case (we recommended the beneficiary to correct the documents as some doubts arose in possibly differently treatment of L/C rules by other bank) and I would like to approach yourselves for your opinion:

L/C required let's say:
description fo goods:
1 000 000 m of sausage casings Brand X
partial shipment: not allowed
amount: EUR 100 000,00 (no tolerance indicated)

The Invoice presented showed:
Desciption of goods:
1 000 000 m of sausage casings Brand X
Detailed nomenclature of goods and mathematical calculations (a list has been shortened, actually separate positions took more than a page):
sausage casings Brand X color: red quantity: 500 000 m Price 0,12 EUR/m Amount: 60 000 EUR
sausage casings Brand X color: transparent quantity: 450 000 m Price 0,1 EUR/m Amount: 45 000 EUR
Total: quantity 1 000 000 m, amount: EUR 100.000,00

The reasons of doubt: ISBP art. 25 says that detailed mathematical calculations in documents will not be checked by banks, banks are only obliged to check total values.

Notwithstanding this fact, we see a clear error in mathematical calculation, but have to look only at total values which are a L/C complying.

Can another bank acting in such L/C transaction treat this as a discrepancy under art. 14 d (data in conflict)?

Hi Pal,

IMHO, banks are not obliged to calculate e.g. sqft 11.432,54 at 22,33 = ......., but in your case it is clear that a mistake occured. Short shipment, uncorrect total etc. Those are problems for the Customs too. So I will accept :

-500.000 at 0,12 = 60.000,00
-500.000 at 0,1 = 50.000,00
subtotal 110.000,00
less discount 10.000,00
total 100.000,00

or apply art 30 b + c.

other comments appreciated

Ciao

Thank you, Picant, for your reputable opinion. But still I have some doubts: if according to ISBP you are not supposed to check mathematical calculations (i.e. sometimes possibly clear mathematical calculation errors), is there still a chance that other bank acting in L/C transaction may treat this differently?

i agree with picant. this is a clear mistake. by detail mathematical calculation what is meant that bank will not check any mathematical calculation that requires a calculator or such.