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L/C for Raw Sugar
Posted: Wed Dec 31, 2008 4:55 pm
by ghubshawi
Good day to all,
I have been posting these Quires on Letter of Credit Forum as well.
Being as a buyer of Raw Sugar my supplier has requeted me to consider the following amendments among many others;
1- Stale documents are acceptable.
2- Documents bear date of issue prior to the L/C date are acceptable.
3- Only Commercial Invoice must bear L/C No.
4- Third Party documents are acceptable.
5- MT 47A ....you are authorised to effect payment within two working days ....
Your urgent comments are welcome hopefully within today.
Regards,
Ghubshawi
i see no problem
Posted: Wed Dec 31, 2008 6:32 pm
by iLC
considering the merchandise and related trade practice, i see no problem. the intention of the seller is very clear. the cargo is already shipped and heading towards the destination
. however i think point 5 needs bit clarification
overall its ok
Posted: Wed Dec 31, 2008 11:13 pm
by shahriar
what are you so worried about dear Ghubshawi? all the terms are quite normal. i guess its for a bulk shipment.
1. you will accept shipping document older than 21 days or any other presentation period stated in the credit.
2. i think some documents have already been produced. UCP allows this. no harm
3. Since the documents have been produced already, the seller dont want to add the LC no. there; in fear of discrepancy i think. well even if it is added later, it wont be a discrepancy. and it wont be a discrepancy even if its not mentioned on the documents while the lc has asked for the lc no. to be shown on all documents. so i think there is no practical use of this clause.
4. in bulk commodity trade its very common that shipper and producer are some third party
5. and about this one. i really think you should consider the ISBP
16. Phrases often used to signify time on either side of a date or event:
a. "within 2 days after" indicates a period from the date of the event until 2 days after the event.
b. "not later than 2 days after" does not indicate a period, only a latest date. If an advice must not be dated prior to a specific date, the credit must so state.
c. "at least 2 days before" indicates that something must take place not later than 2 days before an event. There is no limit as to how early it may take place.
d. "within 2 days of" indicates a period 2 days prior to the event until 2 days after the event.
17. The term "within" when used in connection with a date excludes that date in the calculation of the period.
regd
shahriar