After members exchanging opinions on UCP 500 for a year or so, perhaps it is now time for us to look at certain remote issues related to the UCP 500 operations, such as the assignment of proceeds as stipulated in UCP 500 Article 49.
We would like members from four corners of the world to share their own personal experiences in assignment of proceeds as these issues are seldom dealt with in the ICC Official Opinions and other popular publications in DC operations.
To kick this off, one of the purposes of assignment of proceeds is to enable a DC beneficiary to acquire pre-export finance from an independent source that for the sake of security of its loan extended, would require the beneficiary to assign its interests in the DC (payment by the issuing bank) to the creditor. This is not DC negotiation. The assignee may not be a party of the DC.
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[edited 11/25/02 6:19:55 PM]