Art 37 Commercial Invoice

LeeHowSeng · Post by **LeeHowSeng** » Fri Mar 19, 2004 12:00 am

We hv received a Rejection notice indicating "Invoice showing bank interest and leaglisation charges not called for by LC " .
The invoice showing breakdown of charges ie. Bank interest& leaglisation charges but invoice value is exactly as the LC value , morevoer LC does not state qty and unit price of goods and prohibits partial shipment.

I understand there is no Art in UCP 500 covering such this instance .I am of the opinion that since LC does not provide detailed pricing and the LC is drawn within the amount permitted, the ISB has no reason to refuse payment.

What your's tick on such situation?

NigelHolt · Post by **NigelHolt** » Fri Mar 19, 2004 12:00 am

My tick, fortunately not facial*, is that the last two sentences of para 65 of ISBP are applicable, assuming the credit quoted a trade term.

* I know it’s spelt ‘tic’.

LeeHowSeng · Post by **LeeHowSeng** » Fri Mar 19, 2004 12:00 am

Thousand apologies for the spelling erorr.

NigelHolt · Post by **NigelHolt** » Sat Mar 20, 2004 12:00 am

I was not intending to suggest you had mis-spelt 'tick'. It was intended to be a -rather poor, I admit- pun. Frankly, I have not seen the word 'tick' used in this context before.

larryBacon · Post by **larryBacon** » Mon Mar 22, 2004 12:00 am

Perhaps I am sailing too close to the wind, but I think that Jeremy is on the right "tack". We have not been told what or if there are trade terms included in the LC. A delivered term might justifiably include costs other than freight, but a CFR term would not.

Have a tic-tac and chew on that !

Laurence

LeeHowSeng · Post by **LeeHowSeng** » Wed Mar 24, 2004 12:00 am

The trade term is CFR .Thanks Laurence & Jeremy for the tic-tac lesson.