LC issued calls for an inspection certificate without any additional requirement.
Inspection certificate presented showing specification of goods as follows:
Purity 'A' > 10%
Purity 'B' > 20%
whereas invoice showing as :
Purity 'A' > 10%
Purity 'C' > 5%
which invoice showing as per LC stipulation.
(N.B. inspection cert. showing purity of 'B' LC does not mention)
inspection certificate also showing a clause as follows:
'computer printout, no signature required'
I have three queries :
Ć May we accept the inspection certificate without showing any specification of goods if the LC does not stated the content of such cert?
Ć Is the inspection certificate presented showing specification of goods inconsistent with invoice if LC does not state the content of such documents?
Ć May we accept such an unsigned certificate ?
(ICC opinion stated that a certificate must be signed)
inspection certificate
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hatemshehab
- Posts: 220
- Joined: Fri Apr 05, 2019 5:19 pm
inspection certificate
Some bankers assume that the mere stipulation of a document called certificate of inspection, or certificate of analysis, or packing list can be construed enough to indicate the required data to appear therein. Unfortunately this not the case, because these certificates can vary in their contents according to the specific purpose they are required for. I could ask for inspection to verify the quantity of goods or solely to verify the ingredients or any chemical substances, I could require analysis certificate to verify the absence of certain substance like aflatoxine or to validate that the certain components are in order as requested. Therefore these types of certificates are not to be treated like other documents that are required to have certain minimum data like transport documents, insurance documents, or commercial invoices.
Article 21 of UCP 500 states that “ When documents other than transport documents, insurance documents and commercial invoices are called for, the credit should stipulate by whom such documents are to be issued and their wording or data content. If the credit does not so stipulate, banks will accept such documents as presented, provided that their data content is not inconsistence with any other stipulated documents presented”
Therefore, according to this article we have three guidelines
1. Specify documents issuers
2. Specify data content
3. Documents presents to be consistent with each other
According to the scenario you provided, the inspection certificate called for in the L/C did not specify it data content therefore it is not discrepant. Further it stated an additional specification, which was not, included I the L/C and that does not amount to a discrepancy because documents need not be identical but only to correspond with each other and this is a mere additional data that does not affect the specification required in the L/C.
As for the originality I think we need more details on the exact data of the document to answer your query because determination of originality there are so many issues to be considered
1. Apparent intent of the issuer, the paper used in the document; letterhead, plain paper used in the document printed from electronically stored data, manner of intended authentication, marking of the document; original, duplicate original.
Article 21 of UCP 500 states that “ When documents other than transport documents, insurance documents and commercial invoices are called for, the credit should stipulate by whom such documents are to be issued and their wording or data content. If the credit does not so stipulate, banks will accept such documents as presented, provided that their data content is not inconsistence with any other stipulated documents presented”
Therefore, according to this article we have three guidelines
1. Specify documents issuers
2. Specify data content
3. Documents presents to be consistent with each other
According to the scenario you provided, the inspection certificate called for in the L/C did not specify it data content therefore it is not discrepant. Further it stated an additional specification, which was not, included I the L/C and that does not amount to a discrepancy because documents need not be identical but only to correspond with each other and this is a mere additional data that does not affect the specification required in the L/C.
As for the originality I think we need more details on the exact data of the document to answer your query because determination of originality there are so many issues to be considered
1. Apparent intent of the issuer, the paper used in the document; letterhead, plain paper used in the document printed from electronically stored data, manner of intended authentication, marking of the document; original, duplicate original.
inspection certificate
What Mr. Hatem says is strictly true. This certificate is acceptable even if causes any damage on the part of the issuer. Pls. forget never that an inspection cert. including a clause 'meat not fit for human consumption' was deemed acceptable by ICC since l/c did not clarify its content.Best regards, Cengizhan Kaptan - CDCS, cenkap@superonline.com