ICC Digital Library Forum

Dear all,

I need your advice and comment for the following matter:
1. Could you please suggest me some case study/ ICC opinion (if any) concerning to the case in which the beneficiary directly present document to the issuing bank (not via their bank)?
2. If L/C states that “All documents under this L/C must be presented to the issuing bank via a presenting bank”, can the issuing bank refuse to make payment for the documents presented directly to the issuing bank by the beneficiary (not via a presenting bank as L/C requires)? An in such case, what should the issuing bank do if receiving such documents?

Your valued opinions will help me in a great extent.

Thank you very much in advance.

Perform a search in the opinions. This has come up before. This is also under the UCP Article 7 a. so perhaps you can do a search related to that. An issuer cannot refuse to honor a complying presentation sent directly from a beneficiary. A nominated bank does not have to act on its nomination and an advising bank does not have to forard any documents it receives.

Re 2, I believe an issuing bank can override the beneficiary’s right to present documents direct to it and require that documents must be presented through a ‘bank’. Whether the words you quote are sufficient to achieve this I cannot say. Certainly, to be absolutely sure, I would want something far more explicit than this.