Article

King-Tak Fung, author of the preceding article, has collected some of the foremost court cases on L/Cs in his recent book, Leading Court Cases on Letters of Credit. Among the cases analyzed are Banco Santander SA v Banque Paribas [2000] UK (concerning reimbursement under a deferred payment credit); Hyosung America Inc. v Sumagh Textiles Co., Ltd [1998] US (criteria a court may consider in granting an injunction prohibiting an issuing bank from effecting payment under an L/C); Sinotani Pacific Pte Ltd v Agricultural Bank of China [1999] Singapore (the test in determining the governing law of the contract between an issuing bank and a beneficiary); and Arma Far East Ltd v Uni Fit Garment Factory Ltd [2002] Hong Kong (whether a cargo receipt complied with the terms of an L/C).

In his book, Mr Fung uses comprehensive flow charts to present the facts in relation to each case, then follows with an analysis responding to key questions the cases raise. Says Mr Fung: "A rounded analysis of L/C operations from the legal, banking and commercial points of view should add value to risk mitigation and speedy collection of L/C proceeds." The book is available at www.iccbooks.com