1. If an amendment to an L/C has been issued and documents are presented as per original L/C disregarding the amendment, does that make the documents discrepant? For example, L/C goods description is LAMB PELT, then an amendment stating goods to be amended to now read as COW HIDE. If amendment has neither been accepted nor rejected and documents are presented stating LAMB PELT, are the documents discrepant or are they clean?
2. If an amendment is issued and beneficiary does not agree, must the amendment be declined or can above just be done?
3. Is there any time limit as to rejection of an amendment? If amendment is not rejected is it deemed to be acceptable?
[edited 7/7/2006 1:30:08 AM]
L/C AMENDMENT
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DavidConyers
- Posts: 2
- Joined: Fri Apr 05, 2019 5:17 pm
L/C AMENDMENT
Dear David,
Bnf should present to remitting bank,together with docs required under l/c,a statement concerning rejection of amendment (in case of non-paym bnf may claim that they never been advised about amendment and therefore presented docs based only on innitial l/c).
You,as a bank,should also clearly inform the issuing bank that amendment has been rejected and docs checked based on innitial l/c.
As advising bank you should have"pushed" the bnf to inform you if accept or not the amendment.In your case isn't a "little" amendment and probably applicant doesn't will to pay lambs instead of cows.
wish you the best.
bogdan.
Bnf should present to remitting bank,together with docs required under l/c,a statement concerning rejection of amendment (in case of non-paym bnf may claim that they never been advised about amendment and therefore presented docs based only on innitial l/c).
You,as a bank,should also clearly inform the issuing bank that amendment has been rejected and docs checked based on innitial l/c.
As advising bank you should have"pushed" the bnf to inform you if accept or not the amendment.In your case isn't a "little" amendment and probably applicant doesn't will to pay lambs instead of cows.
wish you the best.
bogdan.
L/C AMENDMENT
David,
I forgot to ask you if shipment has been effected prior the moment you advised the amendment to the bnf.if yes is clear bnf cannot accept amendment but anyway you must inform issuing bank accordingly (based on bnf's written declaration that refuses the amendment).
bogdan
I forgot to ask you if shipment has been effected prior the moment you advised the amendment to the bnf.if yes is clear bnf cannot accept amendment but anyway you must inform issuing bank accordingly (based on bnf's written declaration that refuses the amendment).
bogdan
L/C AMENDMENT
Sub-Article 9(d)(iii) provides for IMPLIED acceptance of an amendment at the time pf presentation of documents. Opinions R258 & R315 would appear to provide for IMPLIED rejection of an amendment at the time pf presentation of documents. (I wonder if these opinions will be reflected in UCP600. ;-( ) There is not any automatic time limit as to acceptance / rejection of an amendment and there is nothing -in principle- to prohibit a beneficiary accepting an amendment advised after shipment of which I am aware.
[edited 7/7/2006 3:08:20 PM]
[edited 7/7/2006 3:08:20 PM]
L/C AMENDMENT
To add to what Jeremy's has rightly mentioned, there is also no requirement for the negotiating bank to provide any statement to the issuing bank.
Regards
Khalid
Regards
Khalid
L/C AMENDMENT
in this case bnf did not say anything at all about aceptance or rejection of amendment.
may you or may not presume that bnf never received the amendment ?
would be better or not to check this fact and obtain a clear answer from bnf prior sending docs to issuing bank ?!
did or did not issuing bank ask for bnf's confirmation of acceptance ?
if you have no rules and/or definitions to guide you in a case is better to solve it by yourself being as clear you can be and by that avoiding any misunderstandings. that is why i think a statement would be good for all parties involved.
bogdan.
may you or may not presume that bnf never received the amendment ?
would be better or not to check this fact and obtain a clear answer from bnf prior sending docs to issuing bank ?!
did or did not issuing bank ask for bnf's confirmation of acceptance ?
if you have no rules and/or definitions to guide you in a case is better to solve it by yourself being as clear you can be and by that avoiding any misunderstandings. that is why i think a statement would be good for all parties involved.
bogdan.