T.O.,
I'm sure you will understand if I do not thank you for this 'information'.
Jeremy.
P.S. Further (non-medical) contributions still requested.
URC- STORAGE & INSURANCE
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AbdulkaderBazara
- Posts: 256
- Joined: Fri Apr 05, 2019 5:15 pm
URC- STORAGE & INSURANCE
1) We do not accept instruction to arrange warehousing and insurance of goods. Our Acknowledgement Advice has a pre-printed wording covering same.
2) Our Outward collection has special instructions column where the drawer can give such instructions at his risk and responsibility.
2) Our Outward collection has special instructions column where the drawer can give such instructions at his risk and responsibility.
URC- STORAGE & INSURANCE
As a policy we do not entertain request for storage/warehousing/insurance of goods, and I do not know of any other bank in the UAE providing such facilities.
Khalid Iftikhar-
Standard Chartered Bank- Dubai
Khalid Iftikhar-
Standard Chartered Bank- Dubai
URC- STORAGE & INSURANCE
Many thanks for these further postings and to Hatem Shehab for having 'kicked off' proccedings.
I am left with the strong impression that these days there is little point, if any, in giving drawers the express option of specifying storage &/or insurance, in the collection instruction form they must complete, as these instructions will almost certainly be ignored.
[edited 11/19/01 12:25:46 PM: correction]
I am left with the strong impression that these days there is little point, if any, in giving drawers the express option of specifying storage &/or insurance, in the collection instruction form they must complete, as these instructions will almost certainly be ignored.
[edited 11/19/01 12:25:46 PM: correction]
URC- STORAGE & INSURANCE
After Jeremy has done his wrapping up message, we would like to remind parties of risks that may not be apparent to them regarding collection instruction to provide storage and insurance of the goods.
A COLLECTING BANK NEEDS NOT GIVE NOTICE FOR ITS REFUSAL TO PROVIDE STORAGE AND INSURANCE OF THE GOODS AS INSTRUCTED
We have to remind parties that sub Article 10 (b) of URC 522 states that a collecting bank has no obligation to perform any specific instruction for arranging storage and insurance of the goods EVEN IF no refusal advice has been given according to sub Article 1 (c) of the same Rules.
So if the remitting bank and the seller do not receive any refusal notice from the collecting bank, they should not ASSUME that the collecting bank has agreed to perform such instruction. They should send a follow-up telecommunication message to find this out.
URC 522 IS SILENT ON WHETHER THE COLLECTING BANK HAS TO RESPOND TO SUCH FOLLOW-UP MESSAGE
However, whether the collecting bank has to respond to such follow-up message, for argument sake, it is silent in the URC 522.
This is another risk that a remitting bank and a seller have to take into condsideration when they give such instruction in their covering letter.
A COLLECTING BANK MUST GIVE NOTICE WITHOUT DELAY IF IT CHOOSES TO PROVIDE PROTECTION OF THE GOODS, WHETHER BEING INSTRUCTED OR NOT
A word of warning to the collecting bank. If it chooses to provide protection, such as storage and insurance, of the goods, whether being instructed or not, it must give notice to this effect without delay according to sub Article 10 (c).
http://www.tolee.com
[edited 11/19/01 6:15:19 PM]
A COLLECTING BANK NEEDS NOT GIVE NOTICE FOR ITS REFUSAL TO PROVIDE STORAGE AND INSURANCE OF THE GOODS AS INSTRUCTED
We have to remind parties that sub Article 10 (b) of URC 522 states that a collecting bank has no obligation to perform any specific instruction for arranging storage and insurance of the goods EVEN IF no refusal advice has been given according to sub Article 1 (c) of the same Rules.
So if the remitting bank and the seller do not receive any refusal notice from the collecting bank, they should not ASSUME that the collecting bank has agreed to perform such instruction. They should send a follow-up telecommunication message to find this out.
URC 522 IS SILENT ON WHETHER THE COLLECTING BANK HAS TO RESPOND TO SUCH FOLLOW-UP MESSAGE
However, whether the collecting bank has to respond to such follow-up message, for argument sake, it is silent in the URC 522.
This is another risk that a remitting bank and a seller have to take into condsideration when they give such instruction in their covering letter.
A COLLECTING BANK MUST GIVE NOTICE WITHOUT DELAY IF IT CHOOSES TO PROVIDE PROTECTION OF THE GOODS, WHETHER BEING INSTRUCTED OR NOT
A word of warning to the collecting bank. If it chooses to provide protection, such as storage and insurance, of the goods, whether being instructed or not, it must give notice to this effect without delay according to sub Article 10 (c).
http://www.tolee.com
[edited 11/19/01 6:15:19 PM]
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larryBacon
- Posts: 689
- Joined: Fri Apr 05, 2019 5:26 pm
URC- STORAGE & INSURANCE
In my many years of shipping goods under collections, I have always instructed that goods not be stored (they would usually be insured anyway).
This is based on the following :
1. If an instruction is given to store, it is equivalent to agree charges on a "carte blanche" basis. I am not necessarily suggesting that the bank will agree to the highest storage costs in that location, but there is no incentive for that bank to look for the cheapest.
2. If an instruction is given to store, there is no incentive for the bank to advise the shipper immediately of such action.
3. In my experience, the most difficult part of collections revolves around getting information quickly from the presenting bank. In the event of problems with the collection, the principal will usually be able to take swift action to sell, dispose of or return goods, but to do so he must rely on a quick response from the presenting bank. Such action can usually be taken within the time allowed before demurrage charges start to accrue in the case of goods sent by sea.
This is based on the following :
1. If an instruction is given to store, it is equivalent to agree charges on a "carte blanche" basis. I am not necessarily suggesting that the bank will agree to the highest storage costs in that location, but there is no incentive for that bank to look for the cheapest.
2. If an instruction is given to store, there is no incentive for the bank to advise the shipper immediately of such action.
3. In my experience, the most difficult part of collections revolves around getting information quickly from the presenting bank. In the event of problems with the collection, the principal will usually be able to take swift action to sell, dispose of or return goods, but to do so he must rely on a quick response from the presenting bank. Such action can usually be taken within the time allowed before demurrage charges start to accrue in the case of goods sent by sea.