Article 14 g partly retains the provision of UCP 500 art 13 a (albeit with a slightly amended wording) but the deletion of the phrase “or shall pass them on without responsibility” seem to suggest that although the nominated bank is still allowed to pass on such documents but is no more protected if such documents are found to be discrepant.
Look forward to the forums view on this.
Regards, Khalid
Documents not called for in the credit- Art 14 g
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AsifMahmoodButt
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KimChristensen
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Documents not called for in the credit- Art 14 g
Dear Khalid,
My impression is that the background for this change is that “some banks” have felt a “pressure” from beneficiaries forcing them to forward documents they did not want to forward.
UpSkill 600 reads:
“The position under UCP 600 sub-article 14 (g) is that the nominated bank may return it to the presenter. They still have a choice to forward if they so wish.”
So in any case no material change indented it seems.
However:
Abdulkader have to this forum cited Professor Byrnes UCP 600 & UCP 500 comparison. I will not do that on this issue as the mass of text relevant is simply too large
BECAUSE Professor Byrne have exactly the same concern as you do… (page 137 – 138).
So one never knows
Best regards
Kim
My impression is that the background for this change is that “some banks” have felt a “pressure” from beneficiaries forcing them to forward documents they did not want to forward.
UpSkill 600 reads:
“The position under UCP 600 sub-article 14 (g) is that the nominated bank may return it to the presenter. They still have a choice to forward if they so wish.”
So in any case no material change indented it seems.
However:
Abdulkader have to this forum cited Professor Byrnes UCP 600 & UCP 500 comparison. I will not do that on this issue as the mass of text relevant is simply too large
BECAUSE Professor Byrne have exactly the same concern as you do… (page 137 – 138).So one never knows
Best regards
Kim
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AsifMahmoodButt
- Posts: 89
- Joined: Fri Apr 05, 2019 5:21 pm
Documents not called for in the credit- Art 14 g
Thanks Kim, I would look up Prof Byrnes view.
Regards, Khalid
Regards, Khalid
Documents not called for in the credit- Art 14 g
Kim,
I'm asking myself why in case of art.14g it isn't stated as under art.14h, i.e. that such docs will be considered as not stated under l/c.
does the word "disregarded" cover enough meanings ?
Regards,
Bogdan
I'm asking myself why in case of art.14g it isn't stated as under art.14h, i.e. that such docs will be considered as not stated under l/c.
does the word "disregarded" cover enough meanings ?
Regards,
Bogdan
Documents not called for in the credit- Art 14 g
Gary Collyer has answered this question in a DC Pro article distributed today:
"Sub-article 14 (g) - Standard for Examination of Documents
This sub-article reads "A document presented but not required by the credit will be disregarded and may be returned to the presenter" - why is there no longer an option to send the document forward without responsibility on the part of the bank?
It is true that the wording in UCP 600 has changed from that in UCP 500 but it does not stop a bank from forwarding an 'additional' document without responsibility. The decision was made to leave the option as "may be returned to the presenter" so that the choice remains with the bank as to the action they are agreeable in taking i.e., they may return the document but they may also agree to forward.
In a large number of cases it would not be appropriate for a nominated bank to forward an 'additional' document to the confirming or issuing bank. Beneficiaries should be encouraged to send such documents directly to avoid any unnecessary issues in relation to the processing of the documents presented."
Don Smith
"Sub-article 14 (g) - Standard for Examination of Documents
This sub-article reads "A document presented but not required by the credit will be disregarded and may be returned to the presenter" - why is there no longer an option to send the document forward without responsibility on the part of the bank?
It is true that the wording in UCP 600 has changed from that in UCP 500 but it does not stop a bank from forwarding an 'additional' document without responsibility. The decision was made to leave the option as "may be returned to the presenter" so that the choice remains with the bank as to the action they are agreeable in taking i.e., they may return the document but they may also agree to forward.
In a large number of cases it would not be appropriate for a nominated bank to forward an 'additional' document to the confirming or issuing bank. Beneficiaries should be encouraged to send such documents directly to avoid any unnecessary issues in relation to the processing of the documents presented."
Don Smith