UCP 500

UCP 500UCP 500

(I.C.C 1993 Revision in force as from January 1, 1994)(I.C.C 1993 Revision in force as from January 1, 1994) A. General Provisions and DefinitionsA. General Provisions and Definitions Article 1: Application of UCPArticle 1: Application of UCP The Uniform Customs and Practice for Documentary CrediThe Uniform Customs and Practice for Documentary Credi

ts. 1993 Revision, ICC Publication No.500, shall apply to all ts. 1993 Revision, ICC Publication No.500, shall apply to all Documentary Credits ( including to the extent to which they Documentary Credits ( including to the extent to which they may be applicable, Standby Letter(s) of Credit) where they may be applicable, Standby Letter(s) of Credit) where they are incorporated into the text of the Credit. They are bindinare incorporated into the text of the Credit. They are binding on all parties thereto, unless otherwise expressly stipulatg on all parties thereto, unless otherwise expressly stipulated in the Credit.ed in the Credit.

For the purposes of these Articles, the expressions “DocFor the purposes of these Articles, the expressions “Documentary Credit (s)” and “Standby Letter (s) of Credit”umentary Credit (s)” and “Standby Letter (s) of Credit”

(hereinafter referred to as “Credit (s)”), mean any arrangeme(hereinafter referred to as “Credit (s)”), mean any arrangement, however named or described, whereby a bank (the “Int, however named or described, whereby a bank (the “Issuing Bank”) acting at the request and on the instructiossuing Bank”) acting at the request and on the instructions of a customer (the “Applicant”) or on its own behalf,ns of a customer (the “Applicant”) or on its own behalf,

1.1. Is to make a payment to or to the order of a third party (tIs to make a payment to or to the order of a third party (the “Beneficiary”), or is to accept and pay bills of exchanghe “Beneficiary”), or is to accept and pay bills of exchange (Draft (S)) drawn by the Beneficiary, or e (Draft (S)) drawn by the Beneficiary, or

2.2. Authorises another bank to effect such payment, or to acAuthorises another bank to effect such payment, or to accept and pay such bills of exchange (Draft (s)), or cept and pay such bills of exchange (Draft (s)), or

3.3. Authorises another bank to negotiate, Authorises another bank to negotiate, Against stipulated document (s), provided that the terms and Against stipulated document (s), provided that the terms and

conditions of the Credit are complied with.conditions of the Credit are complied with.For the purposes of these Articles, branches of a bank in diffeFor the purposes of these Articles, branches of a bank in diffe

rent countries are considered another bank.rent countries are considered another bank.

•Article 2: Meaning of Credit

A. Credits, by their nature, are separate transactions from A. Credits, by their nature, are separate transactions from the sales or other contract (s) on which they may be basethe sales or other contract (s) on which they may be based and banks are in no way concerned with or bound by sd and banks are in no way concerned with or bound by such contract (s). Even if any reference whatsoever to sucuch contract (s). Even if any reference whatsoever to such contract (s) is included in the Credit. Consequently, the h contract (s) is included in the Credit. Consequently, the undertaking of a bank to pay, accept and pay Draft (s) or undertaking of a bank to pay, accept and pay Draft (s) or negotiate and/ or to fulfill any other obligation under the Cnegotiate and/ or to fulfill any other obligation under the Credit, is not subject to claims or defences by the Applicant redit, is not subject to claims or defences by the Applicant resulting from his relationships with the lssuing Bank or thresulting from his relationships with the lssuing Bank or the Beneficiary. e Beneficiary.

B. A Beneficiary can in no case avail himself of the contraB. A Beneficiary can in no case avail himself of the contractual relationships existing between the banks or betweectual relationships existing between the banks or between the Applicant and the lssuing Bank.n the Applicant and the lssuing Bank.

•Article 3. Credits v. Contracts

In Credit operations all parties concerned In Credit operations all parties concerned deal with documents, and not with goods, deal with documents, and not with goods, services and / or other performances to services and / or other performances to which the documents may relate.which the documents may relate.

•Article 4: Documents v. Good/ Services / Performances

Article 5: Instructions to lssue / Amend CreditsArticle 5: Instructions to lssue / Amend Credits

A. instructions for the issuance of a Credit, the Credit itself ,A. instructions for the issuance of a Credit, the Credit itself , instructions for an amendment thereto, and the amendme instructions for an amendment thereto, and the amendment itself, must be complete and precise.nt itself, must be complete and precise.

In order to guard against confusion and misunderstanding, In order to guard against confusion and misunderstanding, banks should discourage any attempt:banks should discourage any attempt:

1. to include excessive detail in the Credit or in any amend1. to include excessive detail in the Credit or in any amendment thereto;ment thereto;

2. to give instrucions to issue, advise or confirm a Credit b2. to give instrucions to issue, advise or confirm a Credit by reference to a Credit previously issued (similar Credit) why reference to a Credit previously issued (similar Credit) where such previous Credit has been subject to accepted amere such previous Credit has been subject to accepted amendment (s), and / or unaccepted amendment (s).endment (s), and / or unaccepted amendment (s).

B. All instrucions for the issuance of a Credit and B. All instrucions for the issuance of a Credit and the Credit itself and, where applicable, all instrucithe Credit itself and, where applicable, all instrucions for an amendment thereto and the amendmeons for an amendment thereto and the amendment itself, must state precisely the document (s) agnt itself, must state precisely the document (s) against which payment, acceptance or negotiation iainst which payment, acceptance or negotiation is to be made. s to be made.

B. Form and Notification of Credits B. Form and Notification of Credits

Article 6: Revocable v. Irrevocable CreditArticle 6: Revocable v. Irrevocable Credit A. Credit may be either A. Credit may be either 1. revocable, or 1. revocable, or 2. irrevocable.2. irrevocable. B. The Credit, therefore, should clearly B. The Credit, therefore, should clearly

indicate whether it is revocable or indicate whether it is revocable or irrevocable.irrevocable.

C. In the absence of such indication the C. In the absence of such indication the Credit shall be deemed to be irrevocable.Credit shall be deemed to be irrevocable.

Article 7: Advising Bank’s LiabilityArticle 7: Advising Bank’s Liability

A. A Credit may be advised to a Beneficiary A. A Credit may be advised to a Beneficiary through bank (the “Advising Bank”) without through bank (the “Advising Bank”) without engagement on the part of the Advising engagement on the part of the Advising Bank, but that bank, if it elects to advise the Bank, but that bank, if it elects to advise the Credit, shall take reasonable care to check Credit, shall take reasonable care to check the apparent authenticity of the Credit which the apparent authenticity of the Credit which it advises. If the bank elects not to advise it advises. If the bank elects not to advise the Credit, it must so inform the Issuing the Credit, it must so inform the Issuing Bank without delay.Bank without delay.

B. If the Advising Bank cannot establish B. If the Advising Bank cannot establish such apparent authenticity it must inform, such apparent authenticity it must inform, without delay, the bank from which the without delay, the bank from which the instructions appear to have been received instructions appear to have been received that it has been unable to establish the that it has been unable to establish the authenticity of the Credit and if elects authenticity of the Credit and if elects nonetheless to advise the Credit it must nonetheless to advise the Credit it must inform the Beneficiary that it has not been inform the Beneficiary that it has not been able to establish the authenticity of the able to establish the authenticity of the Credit. Credit.

Article 8: Revocation of a CreditArticle 8: Revocation of a Credit

A. A revocable Credit may be amended or A. A revocable Credit may be amended or cancelled by the Issuing Bank at any moment and cancelled by the Issuing Bank at any moment and without prior notice to the Beneficiary.without prior notice to the Beneficiary.

B. However, the Issuing Bank must:B. However, the Issuing Bank must: 1.reimburse another bank with which a revocable 1.reimburse another bank with which a revocable

Credit has been made available for sight payment, Credit has been made available for sight payment, acceptance or negotiation- for any payment, acceptance or negotiation- for any payment, acceptance or negotiation made by such bank – acceptance or negotiation made by such bank – prior to receipt by it of notice of amendment or prior to receipt by it of notice of amendment or cancellation, against documents which appear on cancellation, against documents which appear on their face to be in compliance with the terms and their face to be in compliance with the terms and conditions of the Credit.conditions of the Credit.

2.reimburse another bank with which a 2.reimburse another bank with which a revocable Credit has been made available revocable Credit has been made available for deferred payment, if such a bank has, for deferred payment, if such a bank has, prior to receipt by it of notice of prior to receipt by it of notice of amendment or cancellation, taken up amendment or cancellation, taken up documents which appear on their face to documents which appear on their face to be in compliance with the terms and be in compliance with the terms and conditions of the Credit.conditions of the Credit.

Article 9: Liability of Issuing and Article 9: Liability of Issuing and Confirming BanksConfirming Banks

A. An irrevocable Credit constitutes a A. An irrevocable Credit constitutes a definite undertaking of the Issuing Bank, definite undertaking of the Issuing Bank, provided that the stipulated documents are provided that the stipulated documents are presented to the Nominated Bank or to the presented to the Nominated Bank or to the Issuing Bank and that the terms and Issuing Bank and that the terms and conditions of the Credit are complied with:conditions of the Credit are complied with:

1. if the Credit provides for sight payment – to pay at sight;1. if the Credit provides for sight payment – to pay at sight; 2. if the Credit provides for deferred payment – to pay on the 2. if the Credit provides for deferred payment – to pay on the

maturity date (s) determinable in accordance with the stipulatimaturity date (s) determinable in accordance with the stipulations of the Credit;ons of the Credit;

3. if the Credit provides for acceptance:3. if the Credit provides for acceptance: a. by the Issuing Bank-to accept Draft (s) drawn by the Bena. by the Issuing Bank-to accept Draft (s) drawn by the Ben

eficiary on the Issuing Bank and pay them at maturity, or eficiary on the Issuing Bank and pay them at maturity, or b. by another drawee bank – to accept and pay at maturity b. by another drawee bank – to accept and pay at maturity

Draft (s) drawn by the Beneficiary on the Issuing Bank in the Draft (s) drawn by the Beneficiary on the Issuing Bank in the event the drawee bank stipulated in the Credit does not acceevent the drawee bank stipulated in the Credit does not accept Draft (s) drawn on it, or to pay Draft (s) accepted but not papt Draft (s) drawn on it, or to pay Draft (s) accepted but not paid by such drawee bank at maturity;id by such drawee bank at maturity;

4. if the Credit provides for negotiation-to pay without recours4. if the Credit provides for negotiation-to pay without recourse to drawers and / or bona fide holders, Draft (s) drawn by the e to drawers and / or bona fide holders, Draft (s) drawn by the Beneficiary and / or document (s) presented under the Credit. Beneficiary and / or document (s) presented under the Credit. A Credit should not be issued available by Draft (s) on the ApA Credit should not be issued available by Draft (s) on the Applicant. If the Credit nevertheless calls for Draft (s) on the Appplicant. If the Credit nevertheless calls for Draft (s) on the Applicant, banks will consider such Draft (s) as an additional doculicant, banks will consider such Draft (s) as an additional document (s).ment (s).

B. A confirmation of an irrevocable Credit B. A confirmation of an irrevocable Credit by another bank ( the “ Confirming Bank”) by another bank ( the “ Confirming Bank”) upon the authorisation or request of the Isupon the authorisation or request of the Issuing Bank, constitutes a definite undertaksuing Bank, constitutes a definite undertaking of the Confirming Bank, in addition to ting of the Confirming Bank, in addition to that of the Issuing Bank, provided that the hat of the Issuing Bank, provided that the stipulated documents are presented to the stipulated documents are presented to the Confirming Bank or to any other NominateConfirming Bank or to any other Nominated Bank and that the terms and conditions d Bank and that the terms and conditions of the Credit are complied with:of the Credit are complied with:

1. if the Credit provides for sight payment-to pay at sight;1. if the Credit provides for sight payment-to pay at sight; 2. if the Credit provides for deferred payment-to pay on the 2. if the Credit provides for deferred payment-to pay on the

maturity date (s) determinable in accordance with the stipulatmaturity date (s) determinable in accordance with the stipulations of the Credit;ions of the Credit;

3. if the Credit provides for acceptance:3. if the Credit provides for acceptance: a. by the Confirming Bank- to accept Draft (s) drawn by tha. by the Confirming Bank- to accept Draft (s) drawn by th

e Beneficiary on the Confirming Bank and pay them maturity, e Beneficiary on the Confirming Bank and pay them maturity, or or

b. by another drawee bank – to accept and pay at maturity b. by another drawee bank – to accept and pay at maturity Draft (s) drawn by the Beneficiary on the Confirming Bank in Draft (s) drawn by the Beneficiary on the Confirming Bank in the event the drawee bank stipulated in the Credit does not athe event the drawee bank stipulated in the Credit does not accept Draft (s) drawn on it, or to pay Draft (s) accepted but nccept Draft (s) drawn on it, or to pay Draft (s) accepted but not paid by such drawee bank at maturity;ot paid by such drawee bank at maturity;

4. if the Credit provides for negotiation-to negotiate without r4. if the Credit provides for negotiation-to negotiate without recourse to drawers and / or bona fide holders, Draft (s) drawecourse to drawers and / or bona fide holders, Draft (s) drawn by the Beneficiary and / or document (s) presented under tn by the Beneficiary and / or document (s) presented under the Credit. A Credit should not be issued available by Draft he Credit. A Credit should not be issued available by Draft (s) on the Applicant. If the Credit nevertheless calls for Draft (s) on the Applicant. If the Credit nevertheless calls for Draft (s) on the Applicant, banks will consider such Draft (s) as an (s) on the Applicant, banks will consider such Draft (s) as an additional document (s).additional document (s).

C. 1. if another bank is authorised or requeC. 1. if another bank is authorised or requested by the Issuing Bank to add its confirmsted by the Issuing Bank to add its confirmation to a Credit but is no prepared to do sation to a Credit but is no prepared to do so, it must so inform the Issuing Bank withoo, it must so inform the Issuing Bank without delay.ut delay.

2. Unless the Issuing Bank specifies oth2. Unless the Issuing Bank specifies otherwise in its authorisation or request to aderwise in its authorisation or request to add confirmation, the Advising Bank may advid confirmation, the Advising Bank may advise the Credit to the Beneficiary without addse the Credit to the Beneficiary without adding its confirmaion.ing its confirmaion.

D. 1. Except as otherwise provided by Article 48. D. 1. Except as otherwise provided by Article 48. an irrevocable Credit can neither be amended an irrevocable Credit can neither be amended nor cancelled without the agreement of the nor cancelled without the agreement of the Issuing Bank, the confirming Bank, if any, and Issuing Bank, the confirming Bank, if any, and the Beneficiary.the Beneficiary.

2.The Issuing Bank shall be irrevocably bound 2.The Issuing Bank shall be irrevocably bound by an amendment (s). A Confirming Bank may by an amendment (s). A Confirming Bank may extend its confirmation to an amendment and extend its confirmation to an amendment and shall be irrevocably bound as of the time of its shall be irrevocably bound as of the time of its advice of the amendment. A Confirming Bank advice of the amendment. A Confirming Bank may, however, choose to advise an amendment may, however, choose to advise an amendment to the Beneficiary without extending its to the Beneficiary without extending its confirmation and if so, must inform the Issuing confirmation and if so, must inform the Issuing Bank and the Beneficiary without delay.Bank and the Beneficiary without delay.

3. The terms of the original Credit (or a Credit 3. The terms of the original Credit (or a Credit incorporation previously accepted amendment incorporation previously accepted amendment (s)) will remain in force for the Beneficiary (s)) will remain in force for the Beneficiary communicated his acceptance of the communicated his acceptance of the amendment to the bank that advised such amendment to the bank that advised such amendment. The Beneficiary should give amendment. The Beneficiary should give notification of acceptance or rejection of notification of acceptance or rejection of amendment (s). If the Beneficiary fails to give amendment (s). If the Beneficiary fails to give such notification, the tender of documents to the such notification, the tender of documents to the Nominated Bank or Issuing Bank, that conform Nominated Bank or Issuing Bank, that conform to the Credit and to not yet accepted to the Credit and to not yet accepted amendment (s), will be deemed to be notification amendment (s), will be deemed to be notification of acceptance by the Beneficiary of such of acceptance by the Beneficiary of such amendment (s) and as of that moment the Credit amendment (s) and as of that moment the Credit will be amended.will be amended.

4. Partial acceptance of amendments 4. Partial acceptance of amendments contained in one and the same advice of contained in one and the same advice of amendment is not allowed and amendment is not allowed and consequently will not be given any effect.consequently will not be given any effect.

Article 10: Types of CreditArticle 10: Types of Credit A. All Credit must clearly indicate whether they are availA. All Credit must clearly indicate whether they are avail

able by sight payment, by deferred payment, by acceptaable by sight payment, by deferred payment, by acceptance or by negotiation.nce or by negotiation.

B. 1. Unless the Credit stipulates that it is available only B. 1. Unless the Credit stipulates that it is available only with the Issuing Bank, all Credits must nominate the banwith the Issuing Bank, all Credits must nominate the bank (the “Nominated Bank”) which is authorised to pay, to ik (the “Nominated Bank”) which is authorised to pay, to incur a deferred payment undertaking, to accept Draft (s) ncur a deferred payment undertaking, to accept Draft (s) or to negotiate. In a freely negotiable Credit, any bank is or to negotiate. In a freely negotiable Credit, any bank is a Nominated Bank.a Nominated Bank.

Presentation of documents must be made to the Issuing Presentation of documents must be made to the Issuing Bank or the Confirming Bank, If any, or other Nominated Bank or the Confirming Bank, If any, or other Nominated Bank.Bank.

2. Negotiation means the giving of value for Draft (s) 2. Negotiation means the giving of value for Draft (s) and / or document (s) by the bank authorised to negotiatand / or document (s) by the bank authorised to negotiate. Mere examination of the documents without giving of e. Mere examination of the documents without giving of value does not constitute a negotiation.value does not constitute a negotiation.

C. Unless the Nominated Bank is the Confirming C. Unless the Nominated Bank is the Confirming Bank, nomination by the Issuing Bank does not cBank, nomination by the Issuing Bank does not constitute any undertaking by the Nominated Banonstitute any undertaking by the Nominated Bank to pay, to incur a deferred payment undertaking,k to pay, to incur a deferred payment undertaking, to accept Draft (s) or to negotiate. Except where to accept Draft (s) or to negotiate. Except where expressly agreed to by the Nominated Bank and expressly agreed to by the Nominated Bank and so communicated to the Beneficiary, the Nominatso communicated to the Beneficiary, the Nominated Bank’s receipt of and / or examination and / or ed Bank’s receipt of and / or examination and / or forwarding of the documents does not make that forwarding of the documents does not make that bank liable to pay, to incur a deferred payment ubank liable to pay, to incur a deferred payment undertaking, to accept Draft (s), or the negotiate.ndertaking, to accept Draft (s), or the negotiate.

D. By nominating another bank, or by allowD. By nominating another bank, or by allowing for negotiation by any bank, or by authing for negotiation by any bank, or by authorising or requesting another bank to add itorising or requesting another bank to add its confirmation, the Issuing Bank authorises s confirmation, the Issuing Bank authorises such bank to pay, accept Draft (s) or negotsuch bank to pay, accept Draft (s) or negotiate as the case may be, against documentiate as the case may be, against documents which appear on their face to be in compls which appear on their face to be in compliance with the terms and conditions of the iance with the terms and conditions of the Credit and undertakes to reimburse such bCredit and undertakes to reimburse such bank in accordance with the provisions of thank in accordance with the provisions of these Articles.ese Articles.

Article 11: Teletransmitted and Pre-AArticle 11: Teletransmitted and Pre-Advised Credits dvised Credits

A. 1. When an Issuing Bank instructs an AdvisinA. 1. When an Issuing Bank instructs an Advising Bank by an authenticated teletransmission to ag Bank by an authenticated teletransmission to advise a Credit or an amendment to a Credit, the dvise a Credit or an amendment to a Credit, the teletransmission will be deemed to be the operatteletransmission will be deemed to be the operative Credit instrument or the operative amendmeive Credit instrument or the operative amendment, and no mail confirmation should be sent. Shont, and no mail confirmation should be sent. Should a mall confirmation nevertheless be sent, it wuld a mall confirmation nevertheless be sent, it will have no effect and the Advising Bank will have ill have no effect and the Advising Bank will have no obligation to check such mail confirmation agno obligation to check such mail confirmation against the operative Credit instrument or the operainst the operative Credit instrument or the operative amendment received by teletransmission.ative amendment received by teletransmission.

2. If the teletransmission states “full details 2. If the teletransmission states “full details to follow” (or words of similar effect) or statto follow” (or words of similar effect) or states that the mail confirmation is to be the opes that the mail confirmation is to be the operative Credit instrument or the operative aerative Credit instrument or the operative amendment, then the teletransmission will nmendment, then the teletransmission will not be deemed to be the operative Credit insot be deemed to be the operative Credit instrument or the operative amendment. The Itrument or the operative amendment. The Issuing Bank must forward the operative Crssuing Bank must forward the operative Credit instrument or the operative amendmenedit instrument or the operative amendment to such Advising Bank without delay.t to such Advising Bank without delay.

B. If a bank uses the services of an Advising Bank to B. If a bank uses the services of an Advising Bank to have the Credit advised to the Beneficiary, it must also have the Credit advised to the Beneficiary, it must also use the services of the same bank of the same bank for use the services of the same bank of the same bank for advising an amendment (s).advising an amendment (s).

C. A preliminary advice of the issuance or amendment of C. A preliminary advice of the issuance or amendment of an irrevocable Credit (pre-advice), shall only be given by an irrevocable Credit (pre-advice), shall only be given by an Issuing Bank if such bank is prepared to issue the an Issuing Bank if such bank is prepared to issue the operative Credit instrument or the operative amendment operative Credit instrument or the operative amendment thereto. Unless otherwise stated in such preliminary thereto. Unless otherwise stated in such preliminary advice by the Issuing Bank, an Issuing Bank having advice by the Issuing Bank, an Issuing Bank having given such pre-advice shall be irrevocably committed to given such pre-advice shall be irrevocably committed to issue or amend the Credit, in terms not inconsistent with issue or amend the Credit, in terms not inconsistent with the pre-advice, without delay.the pre-advice, without delay.

Article 12: Incomplete or Unclear Article 12: Incomplete or Unclear InstructionsInstructions

If incomplete or unclear instructions are received to advise, If incomplete or unclear instructions are received to advise, confirm or amend a Credit, the bank requested to act on confirm or amend a Credit, the bank requested to act on such instructions may give preliminary notification to the such instructions may give preliminary notification to the Beneficiary for information only and without responsibility. Beneficiary for information only and without responsibility. This preliminary notification should state clearly that the This preliminary notification should state clearly that the notification is provided for information only and without the notification is provided for information only and without the responsibility of the taken and request it to provide the responsibility of the taken and request it to provide the necessary information.necessary information.

The Issuing Bank must provide the necessary information The Issuing Bank must provide the necessary information without delay. The Credit will be advised, confirmed or without delay. The Credit will be advised, confirmed or amended, only when complete and clear instructions have amended, only when complete and clear instructions have been received and if the Advising Bank is then prepared to been received and if the Advising Bank is then prepared to act on the instructions.act on the instructions.

C. Liabilities and Responsibilities C. Liabilities and Responsibilities Article 13: Standard for Examination of Documents Article 13: Standard for Examination of Documents A. Banks must examine all documents stipulated in the A. Banks must examine all documents stipulated in the

Credit with reasonable care, to ascertain whether or not Credit with reasonable care, to ascertain whether or not they appear, on their face, to be in compliance with the they appear, on their face, to be in compliance with the terms and conditions of the Credit. Compliance of the terms and conditions of the Credit. Compliance of the stipulated documents on their terms and conditions of the stipulated documents on their terms and conditions of the Credit. Compliance of the stipulated documents on their Credit. Compliance of the stipulated documents on their face with the terms and conditions of the Credit, shall be face with the terms and conditions of the Credit, shall be determined by international standard banking practice as determined by international standard banking practice as reflected in these Articles. Documents which appear on reflected in these Articles. Documents which appear on their face to be inconsistent with one another will be their face to be inconsistent with one another will be considered as not appearing on their face to be in considered as not appearing on their face to be in compliance with the terms and conditions of the Credit.compliance with the terms and conditions of the Credit.

Documents not stipulated in the Credit will not be Documents not stipulated in the Credit will not be examined by banks. If they receive such documents, they examined by banks. If they receive such documents, they shall return them to the presenter or pass them on shall return them to the presenter or pass them on without responsibility.without responsibility.

B. The Issuing Bank, the Confirming Bank, if any, B. The Issuing Bank, the Confirming Bank, if any, or a Nominated Bank acting on their behalf, shall or a Nominated Bank acting on their behalf, shall each have a reasonable time, not to exceed each have a reasonable time, not to exceed seven banking days following the day of receipt seven banking days following the day of receipt of the documents, to examine the documents of the documents, to examine the documents and determine whether to take up or refuse the and determine whether to take up or refuse the documents and to inform the party from which it documents and to inform the party from which it received the documents accordingly.received the documents accordingly.

C. If a Credit contains conditions without stating C. If a Credit contains conditions without stating the document (s) to be presented in compliance the document (s) to be presented in compliance therewith, banks will deem such conditions as therewith, banks will deem such conditions as not stated and will disregard them.not stated and will disregard them.

Article 14: Discrepant Documents Article 14: Discrepant Documents and Notice and Notice

A. When the Issuing Bank authorises another banA. When the Issuing Bank authorises another bank to pay, incur a deferred payment undertaking, ack to pay, incur a deferred payment undertaking, accept Draft (s), or negotiate against documents whicept Draft (s), or negotiate against documents which appear on their face to be in compliance with thch appear on their face to be in compliance with the terms and conditions of the Credit, the Issuing Be terms and conditions of the Credit, the Issuing Bank and the Confirming Bank, if any, are bound:ank and the Confirming Bank, if any, are bound:

1. to reimburse the Nominated Bank which has pai1. to reimburse the Nominated Bank which has paid, incurred a deferred payment undertaking, accepd, incurred a deferred payment undertaking, accepted Draft (s), or negotiated. ted Draft (s), or negotiated.

2. to take up the documents.2. to take up the documents.

B. Upon receipt of the documents the B. Upon receipt of the documents the Issuing Bank and / or Confirming Bank, if Issuing Bank and / or Confirming Bank, if any, or a Nominated Bank acting on their any, or a Nominated Bank acting on their behalf, must determine on the basis of the behalf, must determine on the basis of the documents alone whether or not they documents alone whether or not they appear on their face to be in compliance appear on their face to be in compliance with the terms and conditions of the Credit. with the terms and conditions of the Credit. If the documents appear on their face not If the documents appear on their face not to be in compliance with the terms and to be in compliance with the terms and conditions of the Credit, such banks may conditions of the Credit, such banks may refuse to take up the documents.refuse to take up the documents.

C. If the Issuing Bank determines that the C. If the Issuing Bank determines that the documents appear on their face not to be idocuments appear on their face not to be in compliance with the terms and conditions n compliance with the terms and conditions of the Credit, it may in its sole judgment apof the Credit, it may in its sole judgment approach the Applicant for a waiver of the disproach the Applicant for a waiver of the discrepancy (ies). This does not, however, extcrepancy (ies). This does not, however, extend the period mentioned in sub-Article 13 end the period mentioned in sub-Article 13 (b).(b).

D. 1. If the Issuing Bank and / or Confirming D. 1. If the Issuing Bank and / or Confirming Bank, if any, or a Nominated Bank acting on their Bank, if any, or a Nominated Bank acting on their behalf, decides to refuse the documents, it must behalf, decides to refuse the documents, it must give notice to that effect by telecommunication give notice to that effect by telecommunication or, if that is not possible, by other expeditious or, if that is not possible, by other expeditious means, without delay but no later than the close means, without delay but no later than the close of the seventh banking day following the day of of the seventh banking day following the day of receipt of the documents. Such notice shall be receipt of the documents. Such notice shall be given to the bank from which it received the given to the bank from which it received the documents, or to the Beneficiary, if it received documents, or to the Beneficiary, if it received the documents directly from him.the documents directly from him.

2. Such notice must state all discrepancies 2. Such notice must state all discrepancies in respect of which the bank refuses the in respect of which the bank refuses the documents and must also state whether it documents and must also state whether it is holding the documents at the disposal of, is holding the documents at the disposal of, or is returning them to, the presenter.or is returning them to, the presenter.

3.The Issuing Bank and / or Confirming 3.The Issuing Bank and / or Confirming Bank, if any, shall then be entitled to claim Bank, if any, shall then be entitled to claim from the remitting bank refund, with from the remitting bank refund, with interest, of any reimbursement which has interest, of any reimbursement which has been made to that bank.been made to that bank.

E. If the Issuing Bank and / or Confirming E. If the Issuing Bank and / or Confirming Bank, if any, fails to act in accordance with Bank, if any, fails to act in accordance with the provisions of this Article and / or fails to the provisions of this Article and / or fails to hold the documents at the disposal of, or hold the documents at the disposal of, or return them to the presenter, the Issuing return them to the presenter, the Issuing Bank and / or Confirming Bank, if any shall Bank and / or Confirming Bank, if any shall be precluded from claiming that the be precluded from claiming that the documents are not in compliance with the documents are not in compliance with the terms and conditions of the Credit.terms and conditions of the Credit.

F. If the remitting bank draws the attention of the IF. If the remitting bank draws the attention of the Issuing Bank and / or Confirming Bank, if any, to assuing Bank and / or Confirming Bank, if any, to any discrepancy (ies) in the document (s) or adviseny discrepancy (ies) in the document (s) or advises such banks that it has paid, incurred a deferred s such banks that it has paid, incurred a deferred payment undertaking, accepted Draft (s) or negotipayment undertaking, accepted Draft (s) or negotiated under reserve or against an indemnity in resated under reserve or against an indemnity in respect of such discrepancy (ies), the Issuing Bank apect of such discrepancy (ies), the Issuing Bank and / or Confirming Bank, if any, shall not be therend / or Confirming Bank, if any, shall not be thereby relieved from any of their obligations under any by relieved from any of their obligations under any provision of this Article. Such reserve or indemnity provision of this Article. Such reserve or indemnity concerns only the relations between the remitting concerns only the relations between the remitting bank and the party towards whom the reserve wabank and the party towards whom the reserve was made, or from whom, or on whose behalf, the ins made, or from whom, or on whose behalf, the indemnity was obtained.demnity was obtained.

Article 15: Disclaimer on Article 15: Disclaimer on Effectiveness of DocumentsEffectiveness of Documents

Banks assume no liability or responsibility for the form, Banks assume no liability or responsibility for the form, sufficiency, accuracy, genuineness, falsification or legal sufficiency, accuracy, genuineness, falsification or legal effect of any document (s), or for the general and / or effect of any document (s), or for the general and / or particular conditions stipulated in the document (s) or particular conditions stipulated in the document (s) or superimposed thereon; nor do they assume any liability or superimposed thereon; nor do they assume any liability or responsibility for the description, quantity, weight, quality, responsibility for the description, quantity, weight, quality, condition, packing, delivery, value or existence of the condition, packing, delivery, value or existence of the goods represented by any document (s), or for the good goods represented by any document (s), or for the good represented by any document (s), or for the goodrepresented by any document (s), or for the good

faith or acts and / or omissions, solvency, performance or faith or acts and / or omissions, solvency, performance or standing of the consignors, the carriers, thestanding of the consignors, the carriers, the

forwarders, the consignees or the insurers of the goods, or forwarders, the consignees or the insurers of the goods, or any other person whomsoever.any other person whomsoever.

Article 16: Disclaimer on the Article 16: Disclaimer on the Transmission of Messages Transmission of Messages

Banks assume no liability or responsibility for the Banks assume no liability or responsibility for the consequences arising out of delay and / or loss in consequences arising out of delay and / or loss in transit of any message (s), letter (s) or document transit of any message (s), letter (s) or document (s), or for delay, mutilation or other error (s) arising (s), or for delay, mutilation or other error (s) arising in the transmission of any telecommunication. in the transmission of any telecommunication. Banks assume no liability or responsibility for Banks assume no liability or responsibility for errors in translation and / or interpretation of errors in translation and / or interpretation of technical terms, and reserve the right to transmit technical terms, and reserve the right to transmit Credit terms without translating them.Credit terms without translating them.

Article 17: Force MajeureArticle 17: Force Majeure

Banks assume no liability or responsibility for the cBanks assume no liability or responsibility for the consequences arising out of the interruption of their onsequences arising out of the interruption of their business by Acts of God, riots, civil commotions, inbusiness by Acts of God, riots, civil commotions, insurrections, wars or any other causes beyond their surrections, wars or any other causes beyond their control, or by any strikes or lockouts. Unless specifcontrol, or by any strikes or lockouts. Unless specifically authorised, banks will not, upon resumption ically authorised, banks will not, upon resumption of their business, pay, incur a deferred payment uof their business, pay, incur a deferred payment undertaking, accept Draft (s) or negotiate under Crendertaking, accept Draft (s) or negotiate under Credits which expired during such interruption of their dits which expired during such interruption of their business.business.

Article 18: Disclaimer for Acts of an Article 18: Disclaimer for Acts of an Instructed PartyInstructed Party

A. Banks utilizing the services of another bank or A. Banks utilizing the services of another bank or other banks for the purpose of giving effect to the other banks for the purpose of giving effect to the instructions of the Applicant do so for the account instructions of the Applicant do so for the account and at the risk of such Applicant.and at the risk of such Applicant.

B. Banks assume no liability or responsibility B. Banks assume no liability or responsibility should the instructions they transmit not be carried should the instructions they transmit not be carried out, even if they have themselves taken the out, even if they have themselves taken the initiative in the choice of such other bank (s). initiative in the choice of such other bank (s).

C. 1. A party instructing another party to C. 1. A party instructing another party to perform services is liable for any charges, perform services is liable for any charges, including commissions, fees, costs or including commissions, fees, costs or expenses incurred by the instructed party in expenses incurred by the instructed party in connection with its instructions.connection with its instructions.

2. Where a Credit stipulates that such 2. Where a Credit stipulates that such charges are for the account of a party other charges are for the account of a party other than the instructing party, and charges than the instructing party, and charges cannot be collected, the instructing party cannot be collected, the instructing party remains ultimately liable for payment remains ultimately liable for payment thereof.thereof.

D. The Applicant shall be bound by and D. The Applicant shall be bound by and liable to indemnify the banks against all liable to indemnify the banks against all obligations and responsibilities imposed by obligations and responsibilities imposed by foreign laws and usages.foreign laws and usages.

A. If an Issuing Bank intends that the reimbuA. If an Issuing Bank intends that the reimbursement to which a paying, accepting or negrsement to which a paying, accepting or negotiating bank is entitled, shall be obtained by otiating bank is entitled, shall be obtained by such bank (the “Claiming Bank”), claiming osuch bank (the “Claiming Bank”), claiming on another party (the Reimbursing Bank”), it sn another party (the Reimbursing Bank”), it shall provide such Reimbursing Bank in good hall provide such Reimbursing Bank in good time with the proper instructions or authorisatime with the proper instructions or authorisation to honour such reimbursement claims.tion to honour such reimbursement claims.

Article 19: Bank-to-Bank Article 19: Bank-to-Bank Reimbursement ArrangementsReimbursement Arrangements

B. Issuing Banks shall not require a Claiming B. Issuing Banks shall not require a Claiming Bank to supply a certificate of compliance Bank to supply a certificate of compliance with the terms and conditions of the Credit to with the terms and conditions of the Credit to the Reimbursing Bank.the Reimbursing Bank.

C. An Issuing Bank shall not be relieved C. An Issuing Bank shall not be relieved from any of its obligations to provide from any of its obligations to provide reimbursement if and when reimbursement reimbursement if and when reimbursement is not received by the Claiming Bank from is not received by the Claiming Bank from the Reimbursing Bank.the Reimbursing Bank.

D. The Issuing Bank shall be responsible to the Claiming D. The Issuing Bank shall be responsible to the Claiming Bank for any loss of interest if reimbursement is not proviBank for any loss of interest if reimbursement is not provided by the Reimbursing Bank on first demand, or as otheded by the Reimbursing Bank on first demand, or as otherwise specified in the Credit, or mutually agreed, as the crwise specified in the Credit, or mutually agreed, as the case may be.ase may be.

E. The Reimbursing Bank’s charges should be for the acE. The Reimbursing Bank’s charges should be for the account of the Issuing Bank. However, in cases where the count of the Issuing Bank. However, in cases where the charges are for the account of another party, it is the rescharges are for the account of another party, it is the responsibility of the Issuing Bank to so indicate in the originponsibility of the Issuing Bank to so indicate in the original Credit and in the reimbursement authorisation. In caseal Credit and in the reimbursement authorisation. In cases where the Reimbursing Bank’s charges are for the accs where the Reimbursing Bank’s charges are for the account of another party they shall be collected from the Claiount of another party they shall be collected from the Claiming Bank when the Credit is drawn under. In cases wheming Bank when the Credit is drawn under. In cases where the Credit is not drawn under, the Reimbursing Bank’s re the Credit is not drawn under, the Reimbursing Bank’s charges remain the obligation of the Issuing Bank.charges remain the obligation of the Issuing Bank.

Article 20:Ambiguity as to the Article 20:Ambiguity as to the Issuers of Documents Issuers of Documents

A. Terms such as “first known”, “qualified”, “ A. Terms such as “first known”, “qualified”, “ independent”, “official”, “competent”, “local” and independent”, “official”, “competent”, “local” and the like, shall not be used to describe the issuers the like, shall not be used to describe the issuers of any document (s) to be presented under a of any document (s) to be presented under a Credit. If such terms are incorporated in the Credit, Credit. If such terms are incorporated in the Credit, banks will accept the relative document (s) as banks will accept the relative document (s) as presented, provided that its appears on its face to presented, provided that its appears on its face to be in compliance with the other terms and be in compliance with the other terms and conditions of the Credit and not to have been conditions of the Credit and not to have been issued by the Beneficiary.issued by the Beneficiary.

B. Unless otherwise stipulated in the Credit, banks B. Unless otherwise stipulated in the Credit, banks will also accept as an original document (s), a will also accept as an original document (s), a document (s) produced or appearing to have been document (s) produced or appearing to have been produced:produced:

1. by reprographic, automated or computerized 1. by reprographic, automated or computerized systems;systems;

2. as carbon copies;2. as carbon copies;provided that it is marked as original and, where provided that it is marked as original and, where

necessary, appears to be signed. A document necessary, appears to be signed. A document may be signed by handwriting, by facsimile may be signed by handwriting, by facsimile signature, by perforated signature, by stamp, by signature, by perforated signature, by stamp, by symbol, or by any other mechanical or electronic symbol, or by any other mechanical or electronic method of authentication. method of authentication.

C. 1. Unless otherwise stipulated in the CreC. 1. Unless otherwise stipulated in the Credit, banks will accept as a copy (ies), a docudit, banks will accept as a copy (ies), a document (s) either labelled copy or not marked ment (s) either labelled copy or not marked as an original – a copy (ies) need not be sigas an original – a copy (ies) need not be signed.ned.

2. Credit that require multiple document 2. Credit that require multiple document (s)(s)

Such as “duplicate”, “two fold”, two copies” anSuch as “duplicate”, “two fold”, two copies” and the like, will be satisfied by the presentatiod the like, will be satisfied by the presentation of one original and the remaining number in of one original and the remaining number in copies except where the document itself inn copies except where the document itself indicateds otherwise.dicateds otherwise.

D. Unless otherwise stipulated in the Credit, D. Unless otherwise stipulated in the Credit, a condition under a Credit calling for a docua condition under a Credit calling for a document to be authenticated, validated, legalisement to be authenticated, validated, legalised, visaed, certified or indicating a similar reqd, visaed, certified or indicating a similar requirement, will be satisfied by any signature, uirement, will be satisfied by any signature, mark, stamp or label on such document that mark, stamp or label on such document that on its face appears to satisfy the above conon its face appears to satisfy the above condition.dition.

Article 21: Unspecified Issuers or Article 21: Unspecified Issuers or Contents of Documents Contents of Documents

When documents other than transport documents, When documents other than transport documents, insurance documents and commercial invoices are insurance documents and commercial invoices are called for, the Credit should stipulate by whom called for, the Credit should stipulate by whom such documents are to be issued and their such documents are to be issued and their wording or data content. If the Credit does not so wording or data content. If the Credit does not so stipulate, banks will accept such documents as stipulate, banks will accept such documents as presented, provided that their data content is not presented, provided that their data content is not inconsistent with any other stipulated document inconsistent with any other stipulated document presented. presented.

Article 22: Issuance Date of Article 22: Issuance Date of Documents v. Credit dateDocuments v. Credit date

Unless otherwise stipulated in the Credit, Unless otherwise stipulated in the Credit, bank will accept a document bearing a date bank will accept a document bearing a date of issuance prior to that of the Credit, of issuance prior to that of the Credit, subject to such document being presented subject to such document being presented within the time limits set out in the Credit within the time limits set out in the Credit and in these Articles.and in these Articles.

Article 23: Marine / Ocean Bill of Article 23: Marine / Ocean Bill of Lading Lading

A. If a Credit calls for a bill of lading covering a port-port A. If a Credit calls for a bill of lading covering a port-port shipment, banks will, unless otherwise stipulated in the shipment, banks will, unless otherwise stipulated in the Credit, accept a document, however named, which:Credit, accept a document, however named, which:

1.1. appears on its face to indicate the name of the carrier and appears on its face to indicate the name of the carrier and to have been signed or otherwise authenticated by:to have been signed or otherwise authenticated by:

- the carrier or a named agent for or on behalf of the carrier, - the carrier or a named agent for or on behalf of the carrier, or or

- The master or a named agent for or on behalf of the The master or a named agent for or on behalf of the master.master.

Any signature or authentication of the carrier or master must Any signature or authentication of the carrier or master must be identified as carrier or master, as the case may be. An be identified as carrier or master, as the case may be. An agent signing or authenticating for the carrier or master agent signing or authenticating for the carrier or master must also indicate the capacity of the party, i.e. carrier or must also indicate the capacity of the party, i.e. carrier or master, on whose behalf that agent is acting, and master, on whose behalf that agent is acting, and

2. indicates that the goods have been loaded on board, or 2. indicates that the goods have been loaded on board, or shipped on a named vessel. Loading on board or shipment shipped on a named vessel. Loading on board or shipment on a named vessel may be indicated by pre-printed wording on a named vessel may be indicated by pre-printed wording on the bill of lading that the goods have been loaded on on the bill of lading that the goods have been loaded on board a named vessel or shipped on a named vessel, in board a named vessel or shipped on a named vessel, in which case the date of issuance of the bill of lading will be which case the date of issuance of the bill of lading will be deemed to be the date of loading on board and the date of deemed to be the date of loading on board and the date of shipment.shipment.

In all other cases loading on board a named vessel must be In all other cases loading on board a named vessel must be evidenced by a notation on the bill of lading which gives the evidenced by a notation on the bill of lading which gives the date on which the goods have been loaded on board, in date on which the goods have been loaded on board, in which case the date of the on board notation will be deemed which case the date of the on board notation will be deemed to be the date of shipment. If the bill of lading contains the to be the date of shipment. If the bill of lading contains the indication “intended vessel”, or similar qualification in relation indication “intended vessel”, or similar qualification in relation to the vessel, loading on board a named vessel must be to the vessel, loading on board a named vessel must be evidenced by an on board notation on the bill of lading evidenced by an on board notation on the bill of lading which, in addition to the date on which the goods have been which, in addition to the date on which the goods have been loaded on board, also includes the name of the vessel on loaded on board, also includes the name of the vessel on which the goods have been loaded, even if they have been which the goods have been loaded, even if they have been loaded on the vessel named as the “intended vessel”.loaded on the vessel named as the “intended vessel”.

If the bill of lading indicates a place of If the bill of lading indicates a place of receipt or taking in charge different from the receipt or taking in charge different from the port of loading, the on board notation must port of loading, the on board notation must also include the port of loading stipulated in also include the port of loading stipulated in the Credit and the name of the vessel on the Credit and the name of the vessel on which the goods have been loaded, even if which the goods have been loaded, even if they have been loaded on the vessel named they have been loaded on the vessel named in the bill of lading. This provision also in the bill of lading. This provision also applies whenever loading on board the applies whenever loading on board the vessel is indicated by pre-printed wording on vessel is indicated by pre-printed wording on the bill of lading, and the bill of lading, and

3. indicated the port of loading and the port of 3. indicated the port of loading and the port of discharge stipulated in the Credit, notwithstanding discharge stipulated in the Credit, notwithstanding that it:that it:

a. indicates a place of taking in charge different a. indicates a place of taking in charge different from the port of loading, and / or a place of final from the port of loading, and / or a place of final destination different from the port of discharge, and destination different from the port of discharge, and / or / or

b. contains the indication “intended” or similar b. contains the indication “intended” or similar qualification in relation to the port of loading and / qualification in relation to the port of loading and / or port of discharge, as long as the document also or port of discharge, as long as the document also states the ports of loading and / or discharge states the ports of loading and / or discharge stipulated in the Credit, and stipulated in the Credit, and

4. consists of a sole original bill of lading or , 4. consists of a sole original bill of lading or , if issued in more than one original, the full if issued in more than one original, the full set as so issued, and set as so issued, and

5. appears to contain all of the terms and 5. appears to contain all of the terms and conditions of carriage, or some of such conditions of carriage, or some of such terms and conditions by reference to a terms and conditions by reference to a source or document other than the bill of source or document other than the bill of lading (short form / blank back bill of lading); lading (short form / blank back bill of lading); banks will not examine the contents of such banks will not examine the contents of such terms and conditions, and terms and conditions, and

6. contains no indication that it is subject to a 6. contains no indication that it is subject to a charter party and / or no indication that the charter party and / or no indication that the carrying vessel is propelled by sail only, and carrying vessel is propelled by sail only, and

7. in all other respects meets the stipulations 7. in all other respects meets the stipulations of the Credit.of the Credit.

B. For the purpose of this Article, transhipmB. For the purpose of this Article, transhipment means unloading and reloading from onent means unloading and reloading from one vessel to another vessel during the course e vessel to another vessel during the course of ocean carriage from the port of loading to of ocean carriage from the port of loading to the port of discharge stipulated in the Credit.the port of discharge stipulated in the Credit.

C. Unless transhipment is prohibited by the tC. Unless transhipment is prohibited by the terms of the Credit, banks will accept a bill of erms of the Credit, banks will accept a bill of lading which indicates that the goods will be lading which indicates that the goods will be transhipped, provided that the entire ocean transhipped, provided that the entire ocean carriage is covered by one and the same bilcarriage is covered by one and the same bill of lading.l of lading.

D. Even if the Credit prohibits transhipmenD. Even if the Credit prohibits transhipment, banks will accept a bill of lading which:t, banks will accept a bill of lading which:

1.1. Indicates that transhipment will take place Indicates that transhipment will take place as long as the relevant cargo is shipped in as long as the relevant cargo is shipped in Container (s), Trailer (s) and / or “LASH” bContainer (s), Trailer (s) and / or “LASH” barge (s) as evidenced by the bill of lading parge (s) as evidenced by the bill of lading provided that the entire ocean carriage is corovided that the entire ocean carriage is covered by one and the same bill of lading, avered by one and the same bill of lading, and / or nd / or

2.2. Incorporates clauses stating stating that thIncorporates clauses stating stating that the carrier reserves the right to tranship.e carrier reserves the right to tranship.

Article 24:Non-Negotiable Sea Article 24:Non-Negotiable Sea Waybill Waybill

A. If a Credit calls for a non-negotiable sea waybill A. If a Credit calls for a non-negotiable sea waybill covering a port-to-port shipment, banks will, covering a port-to-port shipment, banks will, unless otherwise stipulated in the Credit, accept a unless otherwise stipulated in the Credit, accept a document, however named, which:document, however named, which:

1. appears on its face to indicate the name of the 1. appears on its face to indicate the name of the carrier and to have been signed or otherwise carrier and to have been signed or otherwise authenticated by:authenticated by:

- The carrier of a named agent for or behalf of the The carrier of a named agent for or behalf of the carrier, or carrier, or

- -the master or a named agent for or on behalf of -the master or a named agent for or on behalf of the master.the master.

Any signature or authentication of the carrier Any signature or authentication of the carrier of master must be identified as carrier or of master must be identified as carrier or master, as the case may be. An agent master, as the case may be. An agent signing or authenticating for the carrier or signing or authenticating for the carrier or master must also indicate the name and the master must also indicate the name and the capacity of the party, i.e. carrier or master, capacity of the party, i.e. carrier or master, on whose behalf that agent is acting, and on whose behalf that agent is acting, and

2. indicates that the goods have been 2. indicates that the goods have been loaded on board, or shipped on a named loaded on board, or shipped on a named vessel. Loading on board or shipment on a vessel. Loading on board or shipment on a named vessel may be indicated by pre-named vessel may be indicated by pre-printed wording on the non-negotiable sea printed wording on the non-negotiable sea waybill that the goods have been loaded on waybill that the goods have been loaded on board a named vessel or shipped on a board a named vessel or shipped on a named vessel, in which case the date of named vessel, in which case the date of issuance of the non-negotiable sea waybill issuance of the non-negotiable sea waybill will be deemed to be the date of loading on will be deemed to be the date of loading on board and the date of shipment.board and the date of shipment.

In all other cases loading on board a named vessel must be In all other cases loading on board a named vessel must be evidenced by a notation on the non-negotiable sea waybill evidenced by a notation on the non-negotiable sea waybill which gives the date on which the goods have been loaded which gives the date on which the goods have been loaded on board, in which case the date of the on board notation on board, in which case the date of the on board notation will be deemed to be the date of shipment.will be deemed to be the date of shipment.

If the non-negotiable sea waybill contains the indication If the non-negotiable sea waybill contains the indication “intended vessel”, or similar qualification in relation to the “intended vessel”, or similar qualification in relation to the vessel, loading on board a named vessel must be vessel, loading on board a named vessel must be evidenced by an on board notation on the non-negotiable evidenced by an on board notation on the non-negotiable sea waybill which, in addition to the date on which the sea waybill which, in addition to the date on which the goods have been loaded. Includes the name of the vessel goods have been loaded. Includes the name of the vessel on which the goods have been loaded, even if they have on which the goods have been loaded, even if they have been loaded on the vessel named as the “intended vessel”.been loaded on the vessel named as the “intended vessel”.

If the non-negotiable sea waybill indicates a place If the non-negotiable sea waybill indicates a place of receipt or taking in charge different from the of receipt or taking in charge different from the port of loading, the on board notation must also port of loading, the on board notation must also include the port of loading, the on board notation include the port of loading, the on board notation must also include the port of loading stipulated in must also include the port of loading stipulated in the Credit and the name of the vessel on which the Credit and the name of the vessel on which the goods have been loaded, even if they have the goods have been loaded, even if they have been loaded on the vessel named in the non-been loaded on the vessel named in the non-negotiable sea waybill. This provision also applies negotiable sea waybill. This provision also applies whenever loading on board the vessel is indicated whenever loading on board the vessel is indicated by pre-printed wording on the non-negotiable sea by pre-printed wording on the non-negotiable sea waybill, and waybill, and

3. indicated the port of loading and the port of 3. indicated the port of loading and the port of discharge stipulated in the Credit, notwithstanding discharge stipulated in the Credit, notwithstanding that it:that it:

a. indicates a place of taking gin charge different a. indicates a place of taking gin charge different from the port of loading, and / or a place of final from the port of loading, and / or a place of final destination different from the port of discharge, destination different from the port of discharge, and / or and / or

b. contains the indication “intended” or similar b. contains the indication “intended” or similar qualification in relation to the port of loading and / qualification in relation to the port of loading and / or port of discharge, as long as the document also or port of discharge, as long as the document also states the ports of loading and / or discharge states the ports of loading and / or discharge stipulated in the Credit, and stipulated in the Credit, and

4. consists of a sole original non-negotiable sea 4. consists of a sole original non-negotiable sea waybill, or if issued in more than one original, the waybill, or if issued in more than one original, the full set as so issued, and full set as so issued, and

5. appears to contain all of the terms and 5. appears to contain all of the terms and conditions of carriage, or some of such terms and conditions of carriage, or some of such terms and conditions by reference to a source or document conditions by reference to a source or document other than the non-negotiable sea waybill ( short other than the non-negotiable sea waybill ( short form / blank back non-negotiable sea waybill) ; form / blank back non-negotiable sea waybill) ; banks will not examine the contents of such terms banks will not examine the contents of such terms and conditions, and and conditions, and

6. contains no indication that it is subject to a 6. contains no indication that it is subject to a charter party and / or no indication that the carrying charter party and / or no indication that the carrying vessel is propelled by sail only, and vessel is propelled by sail only, and

7. in all other respects meets the stipulations of the 7. in all other respects meets the stipulations of the Credit.Credit.

B. For the purpose of this Article, transhipmB. For the purpose of this Article, transhipment means unloading and reloading from onent means unloading and reloading from one vessel to another vessel during the course e vessel to another vessel during the course of ocean carriage from the port of loading to of ocean carriage from the port of loading to the port of discharge stipulated in the Credit.the port of discharge stipulated in the Credit.

C. Unless transhipment is prohibited by the tC. Unless transhipment is prohibited by the terms of the Credit, banks will accept a non-erms of the Credit, banks will accept a non-negotiable sea waybill which indicates that tnegotiable sea waybill which indicates that the goods will be transhipped, provided that the goods will be transhipped, provided that the entire ocean carriage is covered by one he entire ocean carriage is covered by one and the same non-negotiable sea waybill.and the same non-negotiable sea waybill.

D. Even if the Credit prohibits transhipmenD. Even if the Credit prohibits transhipment, banks will accept a non-negotiable sea wt, banks will accept a non-negotiable sea waybill which:aybill which:

1.1. Indicates that transhipment will take place Indicates that transhipment will take place as the relevant cargo is shipped in Containas the relevant cargo is shipped in Container (s), Trailer (s) and / or “LASH” barge (s) er (s), Trailer (s) and / or “LASH” barge (s) as evidenced by the non-negotiable non-nas evidenced by the non-negotiable non-negotiable sea waybill, and / or egotiable sea waybill, and / or

2.2. Incorporates clauses stating that the carrieIncorporates clauses stating that the carrier reserves the right to tranship.r reserves the right to tranship.

Article 25: Charter Party Bill of LadingArticle 25: Charter Party Bill of Lading

A. If a Credit calls for or permits charter A. If a Credit calls for or permits charter party bill of lading, banks will, unless party bill of lading, banks will, unless otherwise stipulated in the Credit, accept a otherwise stipulated in the Credit, accept a document, however named, which:document, however named, which:

1.1. Contains any indication that it is subject to Contains any indication that it is subject to a charter party, and a charter party, and

2. appears on its face to have been signed or 2. appears on its face to have been signed or otherwise authenticated by:otherwise authenticated by:

- The master or a named agent for or on behalf of The master or a named agent for or on behalf of the master, or the master, or

- The owner or a named agent for or on behalf of the The owner or a named agent for or on behalf of the owner.owner.

Any signature or authentication of the master or Any signature or authentication of the master or owner must be identified as master or owner as the owner must be identified as master or owner as the case may be. An agent signing or authenticating for case may be. An agent signing or authenticating for the master or owner must also indicate the name the master or owner must also indicate the name and the capacity of the party, i.e. master or owner, and the capacity of the party, i.e. master or owner, on whose behalf that agent is acting, and on whose behalf that agent is acting, and

3. dose or does not indicate the name of the 3. dose or does not indicate the name of the carrier, and carrier, and

4. indicates that the goods have been loaded on 4. indicates that the goods have been loaded on board or shipped on a named vessel., Loading on board or shipped on a named vessel., Loading on board or shipment on a named vessel may be board or shipment on a named vessel may be indicated by pre-printed wording on the bill of indicated by pre-printed wording on the bill of lading that the goods have been loaded on board lading that the goods have been loaded on board a named vessel or shipped on a named vessel, in a named vessel or shipped on a named vessel, in which case the date of issuance of the bill of which case the date of issuance of the bill of lading will be deemed to be the date of loading on lading will be deemed to be the date of loading on board and the date of shipment, board and the date of shipment,

and and

5. indicated the port of loading and the port 5. indicated the port of loading and the port of discharge stipulated in the Credit, andof discharge stipulated in the Credit, and

6. consists of a sole original bill of lading or, 6. consists of a sole original bill of lading or, if issued in more than one original, the full if issued in more than one original, the full set as so issued, and set as so issued, and

7. contains no indication that the carrying 7. contains no indication that the carrying vessel is propelled by sail only, and vessel is propelled by sail only, and

8. in all other respects meets the 8. in all other respects meets the stipulations of the Credit. stipulations of the Credit.

B. Even if the Credit requires the B. Even if the Credit requires the presentation of a charter party contract in presentation of a charter party contract in connection with a charter party bill of lading, connection with a charter party bill of lading, banks will not examine such charter party banks will not examine such charter party contract, but will pass it on without contract, but will pass it on without responsibility on their part.responsibility on their part.

Article 26: Multimodal Transport Article 26: Multimodal Transport Document Document

A. If a Credit calls for a transport document A. If a Credit calls for a transport document covering at least two different modes of covering at least two different modes of transport ( multimodal transport), banks will, transport ( multimodal transport), banks will, unless otherwise stipulated in the Credit, unless otherwise stipulated in the Credit, accept a document, however named, which:accept a document, however named, which:

1. appears on its face to indicate the name of the carrier or 1. appears on its face to indicate the name of the carrier or multimodal transport operator and to have been signed or multimodal transport operator and to have been signed or otherwise authenticated by:otherwise authenticated by:

- The carrier or multimodal transport operator or a named The carrier or multimodal transport operator or a named agent for or on behalf of the carrier or multimodal transport agent for or on behalf of the carrier or multimodal transport operator, or operator, or

- The master or a named agent for or on behalf of the master.The master or a named agent for or on behalf of the master.Any signature or authentication of the carrier, multimodal Any signature or authentication of the carrier, multimodal

transport operator or master must be identified a carrier, transport operator or master must be identified a carrier, multimodal transport operator or master, as the case may multimodal transport operator or master, as the case may be. An agent signing or authenticating for the carrier, be. An agent signing or authenticating for the carrier, multimodal transport operator or master must also indicate multimodal transport operator or master must also indicate the name and the capacity of the party, i.e. carrier, the name and the capacity of the party, i.e. carrier, multimodal transport operator or master, on whose behalf multimodal transport operator or master, on whose behalf that agent is acting, and that agent is acting, and

2. indicates that the goods have been 2. indicates that the goods have been dispatched, taken in charge or loading on dispatched, taken in charge or loading on board may be indicated by wording to that board may be indicated by wording to that effect on the multimodal transport document effect on the multimodal transport document and the date of issuance will be deemed to and the date of issuance will be deemed to be the date of dispatch, taking in charge or be the date of dispatch, taking in charge or loading on board and the date of shipment. loading on board and the date of shipment. However, if the document indicates, by However, if the document indicates, by stamp or otherwise, a date of dispatch, stamp or otherwise, a date of dispatch, taking in charge or loading on board, such taking in charge or loading on board, such date will be deemed to be the date of date will be deemed to be the date of shipment, and shipment, and

3.a indicates the place of taking in charge sti3.a indicates the place of taking in charge stipulated in the Credit which may be different pulated in the Credit which may be different from the port, airport or place of loading, anfrom the port, airport or place of loading, and the place of final destination stipulated in td the place of final destination stipulated in the Credit which may be different from the pohe Credit which may be different from the port, airport or place of discharge, and / orrt, airport or place of discharge, and / or

b. contains the indication “intended” or simib. contains the indication “intended” or similar qualification in relation to the vessel and / lar qualification in relation to the vessel and / or port of loading and / or port of discharge, or port of loading and / or port of discharge, and and

4. consists of a sole original multimodal tran4. consists of a sole original multimodal transport document or, if issued in more than onsport document or, if issued in more than one original, the full set as so issued, and e original, the full set as so issued, and

5. appears to contain all of the terms and c5. appears to contain all of the terms and conditions of carriage, or some of such terms onditions of carriage, or some of such terms and conditions by reference to a source or dand conditions by reference to a source or document other than the multimodal transport ocument other than the multimodal transport document ( short form / blank back multimodocument ( short form / blank back multimodal transport document); banks will not exadal transport document); banks will not examine the contents of such terms and conditimine the contents of such terms and conditions, and ons, and

6. contains no indication that it is subject to 6. contains no indication that it is subject to a charter party and / or no indication that the a charter party and / or no indication that the carrying vessel is propelled by sail only, and carrying vessel is propelled by sail only, and

7. in all other respects meets the stipulation7. in all other respects meets the stipulations of the Credit.s of the Credit.

B. Even if the Credit prohibits transhipment, bB. Even if the Credit prohibits transhipment, banks will accept a multimodal transport docuanks will accept a multimodal transport document which indicates that transhipment will ment which indicates that transhipment will or may take place, provided that the entire cor may take place, provided that the entire carriage is covered by one and the same mularriage is covered by one and the same multimodal transport document.timodal transport document.

Article 27: Air Transport DocumentArticle 27: Air Transport Document

A. If a Credit calls for an air transport document, A. If a Credit calls for an air transport document, banks will, unless otherwise stipulated in the Crebanks will, unless otherwise stipulated in the Credit, accept a document, however named, which:dit, accept a document, however named, which:

1.1. Appears on its face to indicate the name of the cAppears on its face to indicate the name of the carrier and to have been signed or otherwise autharrier and to have been signed or otherwise authenticated by:enticated by:

- The carrier, or The carrier, or - a named agent for or on behalf of the carrier.a named agent for or on behalf of the carrier.

Any signature or authentication of the carrier Any signature or authentication of the carrier must be identified as carrier. An agent must be identified as carrier. An agent signing or authenticating for the carrier must signing or authenticating for the carrier must also indicate the name and the capacity of also indicate the name and the capacity of the party, i.e. carrier, on whose behalf that the party, i.e. carrier, on whose behalf that agent is acting, and agent is acting, and

2. Indicates that the goods have been 2. Indicates that the goods have been accepted for carriage, and accepted for carriage, and

3. where the Credit calls for an actual date of disp3. where the Credit calls for an actual date of dispatch, indicates a specific notation of such date, the atch, indicates a specific notation of such date, the date of dispatch so indicated on the air transport ddate of dispatch so indicated on the air transport document will be deemed to be the date of shipmenocument will be deemed to be the date of shipment.t.

For the purpose of this Article, the information appFor the purpose of this Article, the information appearing appearing in the box on the air transport doearing appearing in the box on the air transport document (marked “For Carrier Use Only” or similar cument (marked “For Carrier Use Only” or similar expression) relative to the flight number and date expression) relative to the flight number and date will not be considered as a specific notation of sucwill not be considered as a specific notation of such date of dispatch. In all other cases, the date of ish date of dispatch. In all other cases, the date of issuance of the air transport document will be deemsuance of the air transport document will be deemed to be the date of shipment, and ed to be the date of shipment, and

4. indicates the airport of departure and the airport 4. indicates the airport of departure and the airport of destination stipulated in the Credit, and of destination stipulated in the Credit, and

5. appear to be the original for consignor / shipper 5. appear to be the original for consignor / shipper even if the Credit stipulates a full set of originals, even if the Credit stipulates a full set of originals, or similar expressions, and or similar expressions, and

6. appears to contain all of the terms and 6. appears to contain all of the terms and conditions of carriage, or some of such terms and conditions of carriage, or some of such terms and conditions, by reference to a source or document conditions, by reference to a source or document other than the air transport document; banks will other than the air transport document; banks will not examine the contents of such terms and not examine the contents of such terms and conditions, and conditions, and

7. in all other respects meets the stipulations of 7. in all other respects meets the stipulations of the Credit.the Credit.

B. For the purpose of this Article, transhipmeB. For the purpose of this Article, transhipment means unloading and reloading from one nt means unloading and reloading from one aircraft to another air craft during the course aircraft to another air craft during the course of carriage from the airport of departure to thof carriage from the airport of departure to the airport of destination stipulated in the Credie airport of destination stipulated in the Credit.t.

C. Even if the Credit prohibits transhipment, C. Even if the Credit prohibits transhipment, banks will accept an air transport document banks will accept an air transport document which indicates that transhipment will or may which indicates that transhipment will or may take place, provided that the entire carriage itake place, provided that the entire carriage is covered by one and the same air transport s covered by one and the same air transport document. document.

Article 28: Road, Rail or Inland Article 28: Road, Rail or Inland Waterway Transport DocumentsWaterway Transport Documents

A. If a Credit calls for a road, rail, or inland A. If a Credit calls for a road, rail, or inland waterway transport document, banks will, unless waterway transport document, banks will, unless otherwise stipulated in the Credit, accept a otherwise stipulated in the Credit, accept a document of the type for, however named, which:document of the type for, however named, which:

1. Appears on its face to indicate the name of the 1. Appears on its face to indicate the name of the carrier and to have been signed or otherwise carrier and to have been signed or otherwise authenticated by the carrier or a named agent for authenticated by the carrier or a named agent for or on behalf of the carrier and / or to bear a or on behalf of the carrier and / or to bear a reception stamp or other indication of receipt by reception stamp or other indication of receipt by the carrier or a named agent for or on behalf of the the carrier or a named agent for or on behalf of the carrier.carrier.

Any signature, authentication, reception Any signature, authentication, reception stamp or other indication of receipt of the stamp or other indication of receipt of the carrier, must be identified on its face as that carrier, must be identified on its face as that of the carrier. An agent signing or of the carrier. An agent signing or authenticating for the carrier, must also authenticating for the carrier, must also indicate the name and the capacity of the indicate the name and the capacity of the party, i.e. carrier, on whose behalf that agent party, i.e. carrier, on whose behalf that agent is acting, and is acting, and

2. indicates that the goods have been 2. indicates that the goods have been received for shipment, dispatch or carriage received for shipment, dispatch or carriage or wording to this effect. The date of or wording to this effect. The date of issuance will be deemed to be the date of issuance will be deemed to be the date of shipment unless the transport document shipment unless the transport document contains a reception stamp, in which case contains a reception stamp, in which case the date of the reception stamp will be the date of the reception stamp will be deemed to be the date of shipment, and deemed to be the date of shipment, and

3. indicates the place of shipment and the 3. indicates the place of shipment and the place of destination stipulated in the Credit, place of destination stipulated in the Credit, and and

B. In the absence of any indication on the transpoB. In the absence of any indication on the transport document as to the numbers issued, banks will rt document as to the numbers issued, banks will accept the transport document (s) presented as caccept the transport document (s) presented as constituting a full set. Banks will accept as original onstituting a full set. Banks will accept as original (s) the transport document (s) whether marked as (s) the transport document (s) whether marked as original (s) or not.original (s) or not.

C. For the purpose of this Article, transhipment mC. For the purpose of this Article, transhipment means unloading and reloading from one means of eans unloading and reloading from one means of conveyance to another means of conveyance, in conveyance to another means of conveyance, in different modes of transport, during the course of different modes of transport, during the course of carriage from the place of shipment to the place of carriage from the place of shipment to the place of destination stipulated in the Credit.destination stipulated in the Credit.

D. Even if the Credit prohibits transhipment, D. Even if the Credit prohibits transhipment, banks will accept a road, rail, or inland waterbanks will accept a road, rail, or inland waterway transport document which indicates that way transport document which indicates that transhipment will or may take place, providetranshipment will or may take place, provided that the entire carriage is covered by one ad that the entire carriage is covered by one and the same transport document and within tnd the same transport document and within the same mode of transport.he same mode of transport.

Article 29: Courier and Post ReceiptsArticle 29: Courier and Post Receipts A. If a Credit calls for a posting, banks will, unless A. If a Credit calls for a posting, banks will, unless

otherwise stipulated in the Credit, accept a post rotherwise stipulated in the Credit, accept a post receipt or certificate of posting which:eceipt or certificate of posting which:

1.1. Appears on its face to have been stamped or othAppears on its face to have been stamped or otherwise authenticated anddated in the place from erwise authenticated anddated in the place from which the Credit stipulates the goods are to be shwhich the Credit stipulates the goods are to be shipped or dispatched and such date will be deemeipped or dispatched and such date will be deemed to be the date of shipment or dispatch, and d to be the date of shipment or dispatch, and

2.2. in all other respects meets the stipulations of the in all other respects meets the stipulations of the Credit.Credit.

B. If a Credit calls for a document issued by a couriB. If a Credit calls for a document issued by a courier or expedited delivery service evidencing receipt er or expedited delivery service evidencing receipt of the goods for delivery, banks will, unless otherwiof the goods for delivery, banks will, unless otherwise stipulated in the Credit, accept a document, hose stipulated in the Credit, accept a document, however named, which:wever named, which:

1. Appears on its face to indicate the name of the co1. Appears on its face to indicate the name of the courier / service, and to have been stamped, signed urier / service, and to have been stamped, signed or otherwise authenticated by such named courier or otherwise authenticated by such named courier / service (unless the Credit specifically calls for a d/ service (unless the Credit specifically calls for a document issued by a named Courier / Service, banocument issued by a named Courier / Service, banks will accept a document issued by any Courier / ks will accept a document issued by any Courier / Service) , and Service) , and

2. indicates a date of pick-up or of receipt or 2. indicates a date of pick-up or of receipt or wording to this effect, such date being wording to this effect, such date being deemed to be the date of shipment or deemed to be the date of shipment or dispatch, and dispatch, and

3. In all other respects meets the stipulations 3. In all other respects meets the stipulations of the Credit.of the Credit.

Article 30: Transport Documents Article 30: Transport Documents Issued by Freight ForwardersIssued by Freight Forwarders

Unless otherwise authorised in the Credit, baUnless otherwise authorised in the Credit, banks will only accept a transport document issnks will only accept a transport document issued by a freight forwarder if it appears on its fued by a freight forwarder if it appears on its face to indicate:ace to indicate:1. the name of the freight forwarder as a carri1. the name of the freight forwarder as a carrier or multimodal transport operator and to haer or multimodal transport operator and to have been signed or otherwise authenticated bve been signed or otherwise authenticated by the freight forwarder as carrier or multimody the freight forwarder as carrier or multimodal transport operator, oral transport operator, or

2.the name of the carrier or multimodal 2.the name of the carrier or multimodal transport operator and to have been signed transport operator and to have been signed or otherwise authenticated by the freight or otherwise authenticated by the freight forwarder as a named agent for or on behalf forwarder as a named agent for or on behalf of the carrier or multimodal transport of the carrier or multimodal transport operator.operator.

Article 31: “On Deck”, “Shipper’s Article 31: “On Deck”, “Shipper’s Load and Count”, Name of Load and Count”, Name of

ConsignorConsignorUnless otherwise stipulated in the Credit, banks Unless otherwise stipulated in the Credit, banks

will accept a transport document which:will accept a transport document which:1.does not indicate, in the case of carriage by sea 1.does not indicate, in the case of carriage by sea

or by more than one means of conveyance or by more than one means of conveyance including carriage by sea, that the goods are or including carriage by sea, that the goods are or will be loaded on deck. Nevertheless, banks will will be loaded on deck. Nevertheless, banks will accept a transport document which contains a accept a transport document which contains a provision that the goods may be carried on deck, provision that the goods may be carried on deck, provided that it does not specifically state that provided that it does not specifically state that they are or will be loaded on deck, and/ or they are or will be loaded on deck, and/ or

2.bears a clause on the face thereof such as 2.bears a clause on the face thereof such as “shipper’s load and count” or “said by “shipper’s load and count” or “said by shipper to contain” or words of similar effect, shipper to contain” or words of similar effect, and/ or and/ or

3.Indicates as the consignor of the goods a 3.Indicates as the consignor of the goods a party other than the Beneficiary of the party other than the Beneficiary of the Credit.Credit.

Article 32: Article 32: Clean Transport DocumentsClean Transport Documents

Ⓐ Ⓐ A clean transport document is one which A clean transport document is one which bears no clause or notation which bears no clause or notation which expressly declares a defective condition expressly declares a defective condition of the goods and/ or the packaging.of the goods and/ or the packaging.

Ⓑ Ⓑ Banks will not accept transport Banks will not accept transport documents bearing such clauses or documents bearing such clauses or notations unless the Credit expressly notations unless the Credit expressly stipulates the clauses or notations which stipulates the clauses or notations which may be accepted. may be accepted.

Ⓒ Ⓒ Banks will regard a requirement in a Banks will regard a requirement in a Credit for a transport document to Credit for a transport document to bear the clause “clean on board” as bear the clause “clean on board” as complied with if such transport complied with if such transport document meets the requirements of document meets the requirements of this Article and of Articles 23, 24, 25, this Article and of Articles 23, 24, 25, 26, 27, 28 or 30.26, 27, 28 or 30.

Article 33: Freight Payable/ Prepaid Article 33: Freight Payable/ Prepaid Transport DocumentsTransport Documents

Ⓐ Ⓐ Unless otherwise stipulated in the Unless otherwise stipulated in the Credit, or inconsistent with any of the Credit, or inconsistent with any of the documents presented under the documents presented under the Credit, banks will accept transport Credit, banks will accept transport documents stating that freight or documents stating that freight or transportation charges (hereafter transportation charges (hereafter referred to as “freight”) have still to be referred to as “freight”) have still to be paid.paid.

Ⓑ Ⓑ If a Credit stipulates that the transport If a Credit stipulates that the transport document has to indicate that freight has document has to indicate that freight has been paid or prepaid, banks will accept a been paid or prepaid, banks will accept a transport document on which words clearly transport document on which words clearly indicating payment or prepayment of freight indicating payment or prepayment of freight appear by stamp or otherwise, or on which appear by stamp or otherwise, or on which payment or prepayment of freight is payment or prepayment of freight is indicated by other means. If the Credit indicated by other means. If the Credit requires courier charges to be paid or requires courier charges to be paid or prepaid banks will also accept a transport prepaid banks will also accept a transport document issued by a courier or expedited document issued by a courier or expedited delivery service evidencing that courier delivery service evidencing that courier charges are for the account of a party other charges are for the account of a party other than the consignee.than the consignee.

Ⓒ Ⓒ The words “freight prepayable” or “freight to The words “freight prepayable” or “freight to be prepaid” or words of similar effect, if appearibe prepaid” or words of similar effect, if appearing on transport documents, will not be accepted ng on transport documents, will not be accepted as constituting evidence of the payment of freight.as constituting evidence of the payment of freight.

Ⓓ Ⓓ Banks will accept transport documents bearing rBanks will accept transport documents bearing reference by stamp or otherwise to costs additioneference by stamp or otherwise to costs additional to the freight, such as costs of, or disbursemental to the freight, such as costs of, or disbursements incurred in connection with, loading, unloading s incurred in connection with, loading, unloading or similar operations, unless the conditions of the or similar operations, unless the conditions of the Credit specifically prohibit such reference.Credit specifically prohibit such reference.

Article 34: Insurance DocumentsArticle 34: Insurance Documents

Ⓐ Ⓐ Insurance documents must appear on thInsurance documents must appear on their face to be issued and signed by insuraneir face to be issued and signed by insurance companies or underwriters or their agece companies or underwriters or their agents.nts.

Ⓑ Ⓑ If the insurance document indicates that If the insurance document indicates that it has been issued in more than one originit has been issued in more than one original, all the originals must be presented unlal, all the originals must be presented unless otherwise authorised in the Credit.ess otherwise authorised in the Credit.

Ⓒ Ⓒ Cover notes issued by brokers will not be accepCover notes issued by brokers will not be accepted, unless specifically authorised in the Credit.ted, unless specifically authorised in the Credit.

Ⓓ Ⓓ Unless otherwise stipulated in the Credit, banks Unless otherwise stipulated in the Credit, banks will accept an insurance certificate or a declaratiwill accept an insurance certificate or a declaration under an open cover pre-signed by insurance on under an open cover pre-signed by insurance companies or underwriters or their agents. If a Ccompanies or underwriters or their agents. If a Credit specifically calls for an insurance certificatredit specifically calls for an insurance certificate or a declaration under an open cover, banks wie or a declaration under an open cover, banks will accept, in lieu thereof, an insurance policy.ll accept, in lieu thereof, an insurance policy.

Ⓔ Ⓔ Unless otherwise stipulated in the Credit, Unless otherwise stipulated in the Credit, or unless it appears from the insurance or unless it appears from the insurance document that the cover is effective at document that the cover is effective at the latest from the date of loading on the latest from the date of loading on board or dispatch or taking in charge of board or dispatch or taking in charge of the goods, banks will not accept an the goods, banks will not accept an insurance document which bears a date insurance document which bears a date of issuance later than the date of loading of issuance later than the date of loading on board or dispatch or taking in charge on board or dispatch or taking in charge as indicated in such transport document.as indicated in such transport document.

Ⓕ Ⓕ 1. Unless otherwise stipulated in the 1. Unless otherwise stipulated in the Credit, the insurance document must Credit, the insurance document must be expressed in the same currency as be expressed in the same currency as the Credit.the Credit.

2. Unless otherwise stipulated in the Credit, t2. Unless otherwise stipulated in the Credit, the minimum amount for which the insurance he minimum amount for which the insurance document must indicate the insurance cover tdocument must indicate the insurance cover to have been effected is the CIF (cost, insurance o have been effected is the CIF (cost, insurance and freight(… “named port of destination”)) and freight(… “named port of destination”)) or CIP (carriage and insurance paid to(… “naor CIP (carriage and insurance paid to(… “named place of destination”)) value of the goodmed place of destination”)) value of the goods, as the case may be, plus 10%, but only when s, as the case may be, plus 10%, but only when the CIF or CIP value can be determined from ththe CIF or CIP value can be determined from the documents on their face. Otherwise, banks we documents on their face. Otherwise, banks will accept as such minimum amount 110% of till accept as such minimum amount 110% of the amount for which payment, acceptance or he amount for which payment, acceptance or negotiation is requested under the Credit, or 1negotiation is requested under the Credit, or 110% of the gross amount of the invoice, which10% of the gross amount of the invoice, whichever is the greater.ever is the greater.

Article 35:Type of Insurance CoverArticle 35:Type of Insurance Cover

Ⓐ Ⓐ Credits should stipulated the type of Credits should stipulated the type of insurance required and, if any, the insurance required and, if any, the additional risks which are to be additional risks which are to be covered. Imprecise terms such as covered. Imprecise terms such as “usual risks” or “customary risks” shall “usual risks” or “customary risks” shall not be used ; if they are used, banks not be used ; if they are used, banks will accept insurance documents as will accept insurance documents as presented, without responsibility for presented, without responsibility for any risks not being covered.any risks not being covered.

Ⓑ Ⓑ Failing specific stipulations in the Credit, Failing specific stipulations in the Credit, banks will accept insurance documents as banks will accept insurance documents as presented, without responsibility for any presented, without responsibility for any risks not being covered.risks not being covered.

Ⓒ Ⓒ Unless otherwise stipulated in the Credit, Unless otherwise stipulated in the Credit, banks will accept an insurance document banks will accept an insurance document which indicates that the cover is subject which indicates that the cover is subject to a franchised or an excess (deductible).to a franchised or an excess (deductible).

Article 36: Article 36: All Risks Insurance CoverAll Risks Insurance Cover

Where a Credit stipulates “insurance against Where a Credit stipulates “insurance against all risks” , banks will accept an insurance all risks” , banks will accept an insurance document which contains any “all risks” document which contains any “all risks” notation or clause, whether or not bearing notation or clause, whether or not bearing the heading “all risks” , even if the insurance the heading “all risks” , even if the insurance document indicates that certain risks are document indicates that certain risks are excluded, without responsibility for an risk excluded, without responsibility for an risk (s) not being covered.(s) not being covered.

Article 37: Commercial InvoicesArticle 37: Commercial Invoices

Ⓐ Ⓐ Unless otherwise stipulated in the Unless otherwise stipulated in the Credit, commercial invoices:Credit, commercial invoices:

1. must appear on their face to be 1. must appear on their face to be issued by the Beneficiary named in the issued by the Beneficiary named in the Credit (except as provided in Article 48), Credit (except as provided in Article 48), andand

2. must be made out in the name of the 2. must be made out in the name of the Applicant (except as provided in sub-Applicant (except as provided in sub-Article 48(h) ), and Article 48(h) ), and

3. need not be signed.3. need not be signed.

Ⓑ Ⓑ Unless otherwise stipulated in the Credit, banks Unless otherwise stipulated in the Credit, banks may refuse commercial invoices issued for amomay refuse commercial invoices issued for amounts in excess of the amount permitted by the Crunts in excess of the amount permitted by the Credit. Nevertheless, if a bank authorised to pay, iedit. Nevertheless, if a bank authorised to pay, incur a deferred payment undertaking, accept Drncur a deferred payment undertaking, accept Draft(s), or negotiated under a Credit accepts such aft(s), or negotiated under a Credit accepts such invoices, its decision will be binding upon all parinvoices, its decision will be binding upon all parties, provided that such bank has not paid, incurties, provided that such bank has not paid, incurred a deferred payment undertaking, accepted red a deferred payment undertaking, accepted Draft(s) or negotiated for an amount in excess of Draft(s) or negotiated for an amount in excess of that permitted by the Credit.that permitted by the Credit.

Ⓒ Ⓒ The description of the goods in the The description of the goods in the commercial invoice must correspond commercial invoice must correspond with the description in the Credit. In with the description in the Credit. In all other documents, the goods may be all other documents, the goods may be described in general terms not described in general terms not inconsistent with the description of the inconsistent with the description of the goods in the Credit.goods in the Credit.

Article 38: Other DocumentsArticle 38: Other Documents

If a Credit calls for an attestation or If a Credit calls for an attestation or certification of weight in the case of certification of weight in the case of transport other than by sea, bank will accept transport other than by sea, bank will accept a weight stamp or declaration of weight a weight stamp or declaration of weight which appears to have been superimposed which appears to have been superimposed on the transport document by the carrier or on the transport document by the carrier or his agent unless the Credit specifically his agent unless the Credit specifically stipulates that the attestation or certification stipulates that the attestation or certification of weight must be by means of a separate of weight must be by means of a separate document.document.

E. Miscellaneous ProvisionsE. Miscellaneous Provisions

Article 39: Allowances in Credit Amount, Quantity Article 39: Allowances in Credit Amount, Quantity and Unit Priceand Unit Price

Ⓐ Ⓐ The words “about” , “approximately” , The words “about” , “approximately” , “circa” or similar expressions used in “circa” or similar expressions used in connection with the amount of the Credit or connection with the amount of the Credit or the quantity or the unit price stated in the the quantity or the unit price stated in the Credit are to be construed as allowing a Credit are to be construed as allowing a difference not to exceed 10% more or 10% difference not to exceed 10% more or 10% less than the amount or the quantity or the less than the amount or the quantity or the unit price to which they refer.unit price to which they refer.

Ⓑ Ⓑ Unless a Credit stipulates that the Unless a Credit stipulates that the quantity of the goods specified must not be quantity of the goods specified must not be exceeded or reduced, a tolerance of 5% exceeded or reduced, a tolerance of 5% more or 5% less will be permissible, always more or 5% less will be permissible, always provided that the amount of the drawings provided that the amount of the drawings does not exceed the amount of the Credit. does not exceed the amount of the Credit. This tolerance does not apply when the This tolerance does not apply when the Credit stipulates the quantity in terms of a Credit stipulates the quantity in terms of a stated number of packing units or stated number of packing units or individual items.individual items.

Ⓒ Ⓒ Unless a Credit which prohibits partial shipmenUnless a Credit which prohibits partial shipments stipulates otherwise, or unless sub-Article (b) ts stipulates otherwise, or unless sub-Article (b) above is applicable, a tolerance of 5% less in the above is applicable, a tolerance of 5% less in the amount of the drawing will be permissible, proviamount of the drawing will be permissible, provided that if the Credit stipulates the quantity of tded that if the Credit stipulates the quantity of the goods, such quantity of goods is shipped in fuhe goods, such quantity of goods is shipped in full, and if the Credit stipulates a unit price, such pll, and if the Credit stipulates a unit price, such price is not reduced. This provision does not applrice is not reduced. This provision does not apply when expressions refferred to in sub-Article (a) y when expressions refferred to in sub-Article (a) above are used in the Credit.above are used in the Credit.

Article 40: Article 40: Partial Shipments/ DrawingsPartial Shipments/ Drawings

Ⓐ Ⓐ Partial drawings and / or shipments are Partial drawings and / or shipments are allowed, unless the Credit stipulates allowed, unless the Credit stipulates otherwise.otherwise. Ⓑ Ⓑ Transport documents which appear on their Transport documents which appear on their face to indicate that shipment has been made face to indicate that shipment has been made on the same means of conveyance and for the on the same means of conveyance and for the same journey, provided they indicate the same journey, provided they indicate the same destination, will not be regarded as same destination, will not be regarded as covering partial shipments, even if the covering partial shipments, even if the transport documents indicate different dates transport documents indicate different dates of shipment and / or different ports of loading, of shipment and / or different ports of loading, places of taking in charge, or dispatch. places of taking in charge, or dispatch.

Ⓒ Ⓒ Shipments made by post or by courier Shipments made by post or by courier will not be regarded as partial will not be regarded as partial shipments if the post receipts or shipments if the post receipts or certificates of posting or courier’s certificates of posting or courier’s receipts or dispatch notes appear to receipts or dispatch notes appear to have been stamped, signed or otherwise have been stamped, signed or otherwise authenticated in the place from which authenticated in the place from which the Credit stipulates the goods are to be the Credit stipulates the goods are to be dispatched, and on the same date.dispatched, and on the same date.

Article 41: Instalment Shipments / DrArticle 41: Instalment Shipments / Drawingsawings

If drawings and / or shipments by instalemntIf drawings and / or shipments by instalemnts within given periods are stipulated in the Cs within given periods are stipulated in the Credit and any instalment is not drawn and / redit and any instalment is not drawn and / or shipped within the period allowed for that or shipped within the period allowed for that instalment, the Credit ceases to be available instalment, the Credit ceases to be available for that and any subsequent instalments, unlfor that and any subsequent instalments, unless otherwise stipulated in the Credit.ess otherwise stipulated in the Credit.

Article 42: Expiry Date and Place for Article 42: Expiry Date and Place for Presentation of Documents Presentation of Documents

A. All Credit must stipulate an expiry an A. All Credit must stipulate an expiry an expiry date and a place for presentation of expiry date and a place for presentation of documents for payment, acceptance, or with documents for payment, acceptance, or with the exception of freely negotiable Credit, a the exception of freely negotiable Credit, a place for presentation of documents for place for presentation of documents for negotiation. An expiry date stipulated for negotiation. An expiry date stipulated for payment, acceptance or negotiation will be payment, acceptance or negotiation will be construed to express an expiry date for construed to express an expiry date for presentation of documents. presentation of documents.

B. Except as provided in sub-Article 44(a), B. Except as provided in sub-Article 44(a), document must be presented on or before such document must be presented on or before such expiry date.expiry date.

C. If an Issuing Bank states that the Credit is to be C. If an Issuing Bank states that the Credit is to be available “for one month”, “for six months” or the available “for one month”, “for six months” or the like, but dose not specify the date from which the like, but dose not specify the date from which the time is to run, the date of issuance of the Credit by time is to run, the date of issuance of the Credit by the Issuing Bank will be deemed to be the first day the Issuing Bank will be deemed to be the first day from which such time is to run. Banks should from which such time is to run. Banks should discourage indication of the expiry the expiry date discourage indication of the expiry the expiry date of the Credit in this manner.of the Credit in this manner.

Article 43: Limitation on the Expiry DateArticle 43: Limitation on the Expiry Date

A. In addition to stipulating an expiry date for presA. In addition to stipulating an expiry date for presentation of documents, every Credit which calls for entation of documents, every Credit which calls for a transport document (s) should also stipulate a spa transport document (s) should also stipulate a specified period of time after the date of shipment duecified period of time after the date of shipment during which presentation must be made in complianring which presentation must be made in compliance with the terms and conditions of the Credit. If nce with the terms and conditions of the Credit. If no such period of time is stipulated, banks will not ao such period of time is stipulated, banks will not accept documents presented to them later than 21 ccept documents presented to them later than 21 days after the date of shipment. In any event, docudays after the date of shipment. In any event, documents must be presented not later than the expiry ments must be presented not later than the expiry date of the Credit.date of the Credit.

Article 44: Extension of Expiry Date Article 44: Extension of Expiry Date

A. If the expiry date of the Credit and / or the last A. If the expiry date of the Credit and / or the last day of the period of time for presentation of day of the period of time for presentation of documents stipulated by the Credit or applicable documents stipulated by the Credit or applicable by virtue of Article 43 falls on a day on which the by virtue of Article 43 falls on a day on which the bank to which presentation has to be made is bank to which presentation has to be made is closed for reasons other than those referred to in closed for reasons other than those referred to in Article 17, the stipulated expiry date and / or the Article 17, the stipulated expiry date and / or the last day of the period of time after the date of last day of the period of time after the date of shipment for presentation of documents, as the shipment for presentation of documents, as the case may be, shall be extended to the first case may be, shall be extended to the first following day on which such bank is open.following day on which such bank is open.

B. The latest date for shipment shall not be B. The latest date for shipment shall not be extended by reason of the extension of the extended by reason of the extension of the expiry date and / or the period of time after expiry date and / or the period of time after the date of shipment for presentation of the date of shipment for presentation of documents in accordance with sub-Article documents in accordance with sub-Article (a) above. If no such latest date for shipment (a) above. If no such latest date for shipment is stipulated in the Credit or amendments is stipulated in the Credit or amendments thereto, banks will not accept transport thereto, banks will not accept transport documents indicating a date of shipment documents indicating a date of shipment later than the expiry date stipulated in the later than the expiry date stipulated in the Credit or amendments thereto.Credit or amendments thereto.

C. The bank to which presentation is made C. The bank to which presentation is made on such first following business day must on such first following business day must provide a statement that the documents provide a statement that the documents were presented within the time limits were presented within the time limits extended in accordance with sub-Article 44 extended in accordance with sub-Article 44 (a) of the Uniform Customs and Practice for (a) of the Uniform Customs and Practice for Documentary Credits, 1993 Revision, ICC Documentary Credits, 1993 Revision, ICC Publication No. 500. Publication No. 500.

Article 45: House of Presentation Article 45: House of Presentation

Banks are under no obligation to accept Banks are under no obligation to accept presentation of documents outside their presentation of documents outside their banking hours.banking hours.

Article 46: General Expressions as Article 46: General Expressions as to Dates for Shipmentto Dates for Shipment

A. Unless otherwise stipulated in the Credit, the exA. Unless otherwise stipulated in the Credit, the expression “shipment” used in stipulating an earliest pression “shipment” used in stipulating an earliest and / or a latest date for shipment will be understoand / or a latest date for shipment will be understood to include expressions such as, “loading on boaod to include expressions such as, “loading on board”, “dispatch, accepted for carriage”, “date of post rd”, “dispatch, accepted for carriage”, “date of post receipt”, “date of pick-up”, and the like, and in the receipt”, “date of pick-up”, and the like, and in the case of a Credit calling for a multimodal transport case of a Credit calling for a multimodal transport document the expression “taking in charge”.document the expression “taking in charge”.

B. Expressions such as “prompt”, B. Expressions such as “prompt”, “immediately”, “as soon as possible”, and “immediately”, “as soon as possible”, and the like should not be used. If they are used the like should not be used. If they are used banks will disregard them.banks will disregard them.

C. If the expression “on or about” or similar C. If the expression “on or about” or similar expressions are used, banks will interpret expressions are used, banks will interpret them as a stipulation that shipment is to be them as a stipulation that shipment is to be made during the period from five days made during the period from five days before to five days after the specified date, before to five days after the specified date, both end days included.both end days included.

Article 47: Date Terminology for Article 47: Date Terminology for Period of ShipmentPeriod of Shipment

A. The words “to”, “until”, “from” and words A. The words “to”, “until”, “from” and words of similar import applying to any date or of similar import applying to any date or period in the Credit referring to shipment will period in the Credit referring to shipment will be understood to include the date be understood to include the date mentioned.mentioned.

B. The word “after” will be understood to B. The word “after” will be understood to exclude the date mentioned.exclude the date mentioned.

C. The terms “first half”, “second half” of a mC. The terms “first half”, “second half” of a month shall be construed respectively as the onth shall be construed respectively as the 11stst to the 15 to the 15thth , and the 16 , and the 16thth to the last day of to the last day of such month, all dates inclusive.such month, all dates inclusive.

D. The terms “beginning”, “middle”, or “end” D. The terms “beginning”, “middle”, or “end” of a month shall be construed respectively aof a month shall be construed respectively as the 1s the 1stst to the 10 to the 10thth, the 11, the 11thth to the 20 to the 20thth, and t, and the 21he 21stst to the last day of such month, all dat to the last day of such month, all dates inclusive.es inclusive.

F. Transferable CreditF. Transferable Credit

Article 48:Article 48:Transferable CreditTransferable Credit

A. A transferable Credit is a Credit under which thA. A transferable Credit is a Credit under which the Beneficiary (First Beneficiary) may request the be Beneficiary (First Beneficiary) may request the bank authorised to pay, incur a deferred payment uank authorised to pay, incur a deferred payment undertaking, accept or negotiate (the “Transferring ndertaking, accept or negotiate (the “Transferring Banks”), or in the case of a freely negotiable CrediBanks”), or in the case of a freely negotiable Credit, the banks specifically authorised in the Credit as t, the banks specifically authorised in the Credit as a Transferring Bank, to make the Credit available ia Transferring Bank, to make the Credit available in whole or in part to one or more other Beneficiary n whole or in part to one or more other Beneficiary (ies) (second Beneficiary (ies)).(ies) (second Beneficiary (ies)).

B. A Credit can be transferred only if it is expB. A Credit can be transferred only if it is expressly designated as “transferable” by the Isressly designated as “transferable” by the Issuing Bank. Terms such as “divisible”, ”fractisuing Bank. Terms such as “divisible”, ”fractionalble”, “ assignable”, and “transmissible” donalble”, “ assignable”, and “transmissible” do not render the Credit transferable. If such to not render the Credit transferable. If such terms are used they shall be disregarded.erms are used they shall be disregarded.

C. The Transferring Bank shall be under no C. The Transferring Bank shall be under no obligation to effect such transfer except to thobligation to effect such transfer except to the extend and in the manner expressly consee extend and in the manner expressly consented to by such bank.nted to by such bank.

D. At the time of making a request for transfD. At the time of making a request for transfer and prior to transfer of the Credit, the First er and prior to transfer of the Credit, the First Beneficiary must irrevocably instruct the TraBeneficiary must irrevocably instruct the Transferring Bank whether or not he retains the nsferring Bank whether or not he retains the right to refuse to allow the Transferring Bank right to refuse to allow the Transferring Bank to advise amendments to the Second Benefito advise amendments to the Second Beneficiary (ies). If the Transferring Bank consents ciary (ies). If the Transferring Bank consents to the transfer under these conditions, it musto the transfer under these conditions, it must, at the time of transfer, advise the Second t, at the time of transfer, advise the Second Beneficiary (ies) of the First Beneficiary’s insBeneficiary (ies) of the First Beneficiary’s instructions regarding amendments.tructions regarding amendments.

E. If a Credit is transferred to more than one E. If a Credit is transferred to more than one Second Beneficiary (ies), refusal of an amenSecond Beneficiary (ies), refusal of an amendment by one or more Second Beneficiary (idment by one or more Second Beneficiary (ies) does not invalidate the acceptance (s) bes) does not invalidate the acceptance (s) by the other Second Beneficiary (ies) with resy the other Second Beneficiary (ies) with respect to whom the Credit will be amended acpect to whom the Credit will be amended accordingly. With respect to the Second Beneficordingly. With respect to the Second Beneficiary (ies) who rejected the amendment, the ciary (ies) who rejected the amendment, the Credit will remain unamended.Credit will remain unamended.

F. Transferring Bank charges in respect of F. Transferring Bank charges in respect of transfers including commissions, fees, costs transfers including commissions, fees, costs or expenses are payable by the First or expenses are payable by the First Beneficiary, unless otherwise agreed. If the Beneficiary, unless otherwise agreed. If the Transferring Bank agrees to transfer the Transferring Bank agrees to transfer the Credit it shall be under no obligation to effect Credit it shall be under no obligation to effect the transfer until such charges are paid.the transfer until such charges are paid.

G. Unless otherwise stated in the Credit, a G. Unless otherwise stated in the Credit, a transferable Credit can be transferred once only. transferable Credit can be transferred once only. Consequently, the Credit cannot be transferred at Consequently, the Credit cannot be transferred at the request of the Second Beneficiary to any the request of the Second Beneficiary to any subsequent Third Beneficiary. For the purpose of subsequent Third Beneficiary. For the purpose of this Article, a retransfer to the First Beneficiary this Article, a retransfer to the First Beneficiary does not constitute a prohibited transfer.does not constitute a prohibited transfer.

Fractions of a transferable Credit (not exceeding Fractions of a transferable Credit (not exceeding in the aggregate the amount of the Credit) can be in the aggregate the amount of the Credit) can be transferred separately, provided partial transferred separately, provided partial shipments / drawings are not prohibited, and the shipments / drawings are not prohibited, and the aggregate of such transfers will be considered as aggregate of such transfers will be considered as constituting only one transfer of the Credit.constituting only one transfer of the Credit.

H. The Credit can be transferred only on the H. The Credit can be transferred only on the terms and conditions specified specified in thterms and conditions specified specified in the original Credit, with the exception of :e original Credit, with the exception of :

- the amount of the Credit, - the amount of the Credit,

- any unit prices stated therein, any unit prices stated therein,

- the expiry date, the expiry date,

- the last date for presentation of documents ithe last date for presentation of documents in accordance with Article 43, n accordance with Article 43,

- the period for shipment.the period for shipment.

any or all of which may be reduced or curtailed.any or all of which may be reduced or curtailed.

The percentage for which insurance cover must be The percentage for which insurance cover must be effected may be increased in such a way as to effected may be increased in such a way as to provide the amount of cover stipulated in the provide the amount of cover stipulated in the original Credit, or these Articles.original Credit, or these Articles.

In addition, the name of the First Beneficiary can In addition, the name of the First Beneficiary can be substituted for that of the Applicant, but if the be substituted for that of the Applicant, but if the name of the Applicant is specifically required by name of the Applicant is specifically required by the original Credit to appear in any document (s) the original Credit to appear in any document (s) other than the invoice, such requirement must be other than the invoice, such requirement must be fulfilled.fulfilled.

I. The First Beneficiary has the right to substitute hI. The First Beneficiary has the right to substitute his own invoice (s) (and Draft (s)) for those of the Sis own invoice (s) (and Draft (s)) for those of the Second Beneficiary (ies), for amounts not in excess econd Beneficiary (ies), for amounts not in excess of the original amount stipulated in the Credit and fof the original amount stipulated in the Credit and for the original unit prices if stipulated in the Credit, or the original unit prices if stipulated in the Credit, and upon such substitution of invoice (s) (and Drafand upon such substitution of invoice (s) (and Draft (s)) and the First Beneficiary can draw under the t (s)) and the First Beneficiary can draw under the Credit for difference, if any, between his invoice Credit for difference, if any, between his invoice (s) and the Secnod Beneficiary’s (ies’) invoice (s). (s) and the Secnod Beneficiary’s (ies’) invoice (s).

When a Credit has been transferred and the FWhen a Credit has been transferred and the First Beneficiary is to supply his own invoice (s) irst Beneficiary is to supply his own invoice (s) (and Draft (s)) in exchange for the Second Be(and Draft (s)) in exchange for the Second Beneficiary’s (ies’) invoice (s) (and Draft (s)) but fneficiary’s (ies’) invoice (s) (and Draft (s)) but fails to do so on first demand, the Transferring ails to do so on first demand, the Transferring Bank has the right to deliver to the Issuing BaBank has the right to deliver to the Issuing Bank the documents received under the transferrnk the documents received under the transferred Credit, including the Second Beneficiary’s ed Credit, including the Second Beneficiary’s (ies’) invoice (s) (and Draft (s) without further r(ies’) invoice (s) (and Draft (s) without further responsibility to the First Beneficiary.esponsibility to the First Beneficiary.

J. The First Beneficiary may request that payment J. The First Beneficiary may request that payment or negotiation be effected to the Second Beneficiaror negotiation be effected to the Second Beneficiary (ies) at the place to which the Credit has been tray (ies) at the place to which the Credit has been transferred up to and including the expiry date of the nsferred up to and including the expiry date of the Credit, unless the original Credit expressly states tCredit, unless the original Credit expressly states that it may not be made available for payment or nehat it may not be made available for payment or negotiation at a place other than that stipulated in the gotiation at a place other than that stipulated in the Credit. This is without prejudice to the First BeneficCredit. This is without prejudice to the First Beneficiary’s right to substitute subsequently his own invoiiary’s right to substitute subsequently his own invoice (s) (and Draft (s)) for those of the Second Benefce (s) (and Draft (s)) for those of the Second Beneficiary (ies) and to claim any difference due to him.iciary (ies) and to claim any difference due to him.

G. Assignment of ProceedsG. Assignment of Proceeds

Article 49: Assignment of Proceeds Article 49: Assignment of Proceeds

The fact that a Credit is not stated to be transferable The fact that a Credit is not stated to be transferable shall not affect the Beneficiary’s right to assign any shall not affect the Beneficiary’s right to assign any proceeds to which he may be, or may become, proceeds to which he may be, or may become, entitled under such Credit, in accordance with the entitled under such Credit, in accordance with the provisions of the applicable law. This Article provisions of the applicable law. This Article relates only to the assignment of proceeds and not relates only to the assignment of proceeds and not to the assignment of the right to perform under the to the assignment of the right to perform under the Credit itself. Credit itself.