Best Trade Solution

Dear all,
please provide some clarification in respect of amendments under transferred credits.
I am reading some Gary Collyers FAQ under UCP 600 and I found the following:

If the 2nd beneficiary accepts an amendment, but the other three 2nd beneficiaries do not, how does the 1st beneficiary communicate its acceptance of an amendment under the master credit?
Suggested Answer:
The first beneficiary need not signify the acceptance of the amendment under their credit. When the documents of the respective 2nd beneficiaries are processed, the transferring bank would be well advised to indicate on their covering schedule that for the applicable drawing which amendment(s) were or were not applicable to, or accepted by, the 2nd beneficiary.

If some 2nd beneficiaries reject one or more amendments and some accept, need the transferring bank certify the same on their covering schedule? Or should the issuing bank determine whether the amendment has been accepted or not?
Suggested Answer:
The issuing bank could try and determine, but unless they were aware of multiple transfers having occurred, this would be almost impossible. They will rely on the information given by the nominated bank.

An LC was transferred to more than two 2nd beneficiaries. Are we able to advise amendments separately? If one of the 2nd beneficiaries accepts the amendment, while others refuse it, what will happen to the amendment under the mother LC?
Suggested Answer:
Each transferred credit will stand amended by the amendments that are advised to the respective 2nd beneficiary and the amendment that they accept or reject. Original (mother) credit is amended according to each of the transfers.

It seems to me, that the 1st beneficiary could present documents both, under accepted and under rejected amendment, only transferring banks should indicate that this particular presentation is under unaccepted amendment.
Wouldn't that be in collision with art 10, in the meaning that when 1st beneficiary has presented documents under part of transferred credit (under which one of 2nd beneficiary has accepted amendment), that would also signify his (1st beneficiary's) acceptance of the whole amendment.

Therefore he could not present documents of another 2nd beneficiary who rejected amendment, without discrepancy raised.
thanks

Snježana

Hi,

any amendment under the credit will first be advised to the first beneficiary. If the first beneficiary rejects that amendment, then there is no room for discussion. If, however, he accepts the amendment, then it is necessary to go to the second beneficiary or beneficiaries and get their response. In any case, acceptance or rejection of amendment is completed much before it is advised to the 2nd beneficiaries.

Article 39E of UCP600

Any request for transfer must indicate if and under what conditions amendment may be advised to the second beneficiary. The transferred credit must clearly indicate those conditions.