Hello;
I am waiting for your comments whether art. 25-c of URDG 758 is applicable or not under a demand guarantee which contains such condition as "this guarantee is unlimited in time".
Regards.
Zeynep Ersamut
art. 25-c of URDG 758
art. 25-c of URDG 758
I would very much hope that a court would regard 25(c) as not being applicable and note that –unlike UCP600- Art 1 does not refer to ‘express’ modification or exclusion. Nonetheless, I would only feel absolutely certain, I think, if the guarantee stated something like:
“This guarantee is not limited as to time and therefore sub-Article 25(c) is excluded".
“This guarantee is not limited as to time and therefore sub-Article 25(c) is excluded".
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NicoleGroux
- Posts: 2
- Joined: Fri Apr 05, 2019 5:24 pm
art. 25-c of URDG 758
article 12 provides that quote a guarantor is liable to the beneficiary only in accordance with first the terms and conditions of the guarantee and second these rules so far as consistent with those terms and conditions , up to the guarantee amount unquote so under a guarantee which indicates that" it is unlimited in time" article 25 c cannot prevail as it is not consistent with guarantee terms
art. 25-c of URDG 758
Chére Nicole,
Given the use of the word ‘only’ in Article 12, it seems to me simply to be saying that terms and conditions ADDITIONAL to those found in the guarantee and –to the extent not inconsistent with the guarantee- the URDG cannot be imposed on the guarantor (by -by implication- the instructing party). Therefore, as the matter in question here is not one of imposing additional conditions on the guarantor I do have to wonder if Article 12 is relevant. Have you discussed this with Georges A by any chance?
Salutations, Jeremy
Given the use of the word ‘only’ in Article 12, it seems to me simply to be saying that terms and conditions ADDITIONAL to those found in the guarantee and –to the extent not inconsistent with the guarantee- the URDG cannot be imposed on the guarantor (by -by implication- the instructing party). Therefore, as the matter in question here is not one of imposing additional conditions on the guarantor I do have to wonder if Article 12 is relevant. Have you discussed this with Georges A by any chance?
Salutations, Jeremy