ICC Digital Library Forum

Hi,
I would like to be clarified for some following cases:
1. If an invoice is issued for over-shipment of goods, and then, an amount in excess of the amt permitted by the LC, must it be considered as discrepancy? How should the phrase "may accept" in Art.18 be understood? Does it mean that such invoice can be accepted without be raised as discrepant document?
.
2. L/C requires Insurance cert in 1 original and 1 copy.
The presented Insurance indicates it is issued in 2 originals.
As per Art 28b "When the insurance doc indicates that it has been issued in more than one original, all original must be presented". But I still wonder that whether L/C terms override such rule, i.e only 1 original must be presented and the remaning could be a copy.
. So in this case, how many originals of Insurance cert should be presented to satisfy?
.
Thank you so much for your advice.
[edited 4/11/2011 9:11:01 AM]
[edited 4/11/2011 9:13:02 AM]

Pls give some of your comments!
Regards,

1. See also ISBP par. 64. "May accept" means that is for NB/CB to decide if it is a discrepancy or not.
2. I would apply art. 17d
Daniel

Hi;

1. Since over-shipment effected, you can not apply sub-article 18(b) of UCP 600. The presentation must be considered as discrepant. Note: I assume that sub-article 30(b) is not applicable to the presentation.

2. Since presented insurance policy clearly indicates that it has been issued in two originals, two original must have been presented. Please refer to sub-article 28(b) of UCP 600 and para 29 of ISBP 681.

Regards.
Zeynep

1) Art. 18b describes a situation when an invoice shows an amount in excess of the amount permitted by the credit, not a situation when an invoice shows over shipment. Thus even when nominated bank acting on its nomination, a confirming bank, if any, or the issuing bank may accept a commercial invoice issued for an amount in excess of the amount permitted by the credit, and its decision will be binding upon all parties, the invoice would still be discrepant due to over shipment.

2) I agree with Zeynep, i.e. since presented insurance policy clearly indicates that it has been issued in two originals, two originals must have been presented. UCP600 sub-article 28(b) and ISBP 681 para 29 refers.

Regards,
/Sladjana Skakic