ICC Digital Library Forum

LC value is USD14,000-00 . Invoice presented showing USD14,000-00 less Compensation referring to PO not related to this LC - USD3,000-00 thus making the invoice amount to USD11,000-00. LC does mentioned any tolerance and under the description of goods no quantity and unit price mentioned. Partial Shipment not permitted.
Would this document be considered as discrepant?

Cheers
Tic-Tac

There is no provision of UCP that covers this issue.

However, the practice outlined in paragraph 64 of ISBP is that....... an "invoice may also show a deduction covering advance payment, discount, etc., not stated in the credit."

Also, ICC Opinion R361 covers a similar issue to your question and its conclusion is as follows:

"Provided a bank operates within the scope of sub-Article 37(b), it should accept a presentation of documents which shows a deduction for an advance payment. Ideally, reference to this prior payment should be reflected in the credit terms to avoid any unnecessary problems at the time of presentation."