Expiry date
Not So Evergreen: Court Limits Duration of Auto-Extension Clause in Letter of Credit
Paul Roder examines why the Court decision in Starr Indemnity is troubling both in its interpretation of the auto-extension clause and the practical effect it may have on the industry.
Don’t Walk Away: A Tried and Tested Alternative to “Pay and Walk”?
Practice rules for independent undertakings do not address "pay and walk" clauses that are being used in some regions and shunned by others. Here, David Williams puts forth an alternative option for consideration.
Comments on ICC Banking Commission Opinion TA954
The auto-extension clause used in a UCP 600 standby that gave rise to ICC Opinion TA954 illustrates the serious concerns that can emerge when ambiguous wording is inserted in a credit. Li Huang identifies and examines issues to consider.
Automatic Extension LC Issues
The recent case of Illinois DNR v. Regions Bank illustrates the importance of clear wording of automatic extension clauses and issuing banks including a final expiration date in their standbys.
Assessing the Relevance of UCP600 Today: The Case of Article 6(d)(i)
The maturation of UCP has included attempts to address incorrect practice regarding expiry date and presentation period of a credit. Is it time for UCP600 Article 6(d)(i) to be revisited?
“Fraud and Mistakes in International Trade” – The Second Transfer Case
A deceptive LC transfer leads a confirming bank to pay twice. Explore this trade finance fraud case from Abdurrahman Özalp’s book on international trade.
UCP600 Article 32: A Hidden Trap
UCP Revision – Hot Topics from Practitioners! DCW is pleased to present the next instalment of its discussion series where experienced
Documents Delayed, Beneficiary Learns Hard Way Article 35 Does Not Apply
UCP600 interpretation challenges arise as banks often misconstrue article purposes. Beneficiaries risk losing payment guarantees due to misinterpretation during credit-complying presentations
Standbys without Expiration Dates
What can you, as a US bank, do when a customer tells you that they need you to issue a
