Negligence on part of transferring bank

jennyloi · Post by **jennyloi** » Thu Oct 11, 2001 1:00 am

I would be grateful for your comments on this recent case of mine:-

When the nominated bank H transferred (full transfer) the credit to our client, a number of mistakes & omissions were made…e.g. applicant's name wrongly spelled, issue date of credit not disclosed,etc.

As it was a full transfer, H instructed that all docs are to be forwarded by the transferee's bank to the DC opening bank directly & that their advice is given for guidance only without any obligation on their part.

I am curious as to whether H is liable if discrepancies are raised as a result of our client acting on their advice.

Thank you.

T.O.Lee · Post by **T.O.Lee** » Fri Oct 12, 2001 1:00 am

This appears more to be a legal issue than an UCP 500 issue. Due to complexity in forum of jurisdiction, we cannot answer such a query. Also we are lack of details to determine the applicable law. However, bankers do have due diligence on top of duty of care.

http://www.tolee.com
[edited 10/12/01 5:36:37 AM]