Shipping companies operating out of the United Arab Emirates (UAE) have called for changes in aspects of the Emirates' maritime law that concern the usage of letters of credit (L/Cs).

The calls came during a meeting at which representatives of groups concerned with international trade at the commercial and trading Emirate, Dubai, discussed several topics, including UCP 500, L/Cs, Marine/Ocean Bills of Lading and the use of arbitration as an alternative method for resolving marine disputes.

Questionnaire

The Dubai Ports Authority (DBA) recently sent a questionnaire to shipping companies in the Emirate asking them to suggest what kind of changes to the UAE's maritime law they would like to see.

Following the questionnaire, members of Dubai Shipping Agents Association (DSAA) attended a round table discussion also attended by representatives of Dubai Chamber of Commerce and Industry (DCCI) and Dubai International Arbitration Centre.

The DSAA members suggested at the meeting that DCCI should approach the UAE government and ask them to make changes in the interpretation of the UAE maritime law by legal bodies.

Concerns

Amongst the shipping companies' concerns was a lack of provision in UAE maritime law for matters concerning the release of goods against a bank's shipping guarantee in the absence of an original bill of lading.

The shipping companies also expressed concerns about bankers' views on the necessity for invoice numbers or L/C numbers to be included in bills of lading. DSAA members questioned whether it is mandatory under UCP 500 for these numbers to be mentioned in carriers' bills of lading.

This article represents the views of the author and not necessarily those of the ICC or any of the other partners in DC-PRO.