Meaning of Stale Documents

MarcosParedes · Post by **MarcosParedes** » Wed Aug 29, 2001 1:00 am

Long years ago in a meeting here in Uruguay, Mr. del Busto explained us that the term "Stale Documents" meant in a case involving an ocean transport for example, when vessel arrives before documents were at issuing bank hands.

Nevertheless, many issuing bank continue inserting the clause "stale documents accepted" in their own letters of credit understanding that the term means: "late presentation of documents acceptable".-

Thanks for your comments in this query.-

Marcos Paredes

[edited 8/30/01 3:10:37 PM]

larryBacon · Post by **larryBacon** » Thu Aug 30, 2001 1:00 am

Stale documents can mean different things depending on the context used. In the context of L/C presentation, it means presentation of documents beyond the stipulated or default period allowed. In the context of the shipping line or freight forwarder it can mean non-presentation of a document of title within the time allowed before demurrage charges apply.

AbdulkaderBazara · Post by **AbdulkaderBazara** » Fri Aug 31, 2001 1:00 am

The UCP doesn’t define the term “Stale Documents” and I would request for an amendment / clarification if I receive such terms in a credit as this could be interpreted as documents received after the expiry date of the credit acceptable. The correct language should be similar to the following: “documents presented after 21 days from the date of the transport document (B/L, AWB etc as the case maybe) but within the validity of the credit is acceptable”. The 21 days time limit applies to documents that accompany transport documents only (refer to article 43a of UCP 500). For other documents that don’t accompany transport documents, there is no such thing as stale unless a specific period of presentation is stipulate in the credit provided documents are presented within the validity of the credit.

T.O.Lee · Post by **T.O.Lee** » Sat Sep 01, 2001 1:00 am

Use of fancy/incorrect terms like stale transport documents, third party documents, evergreen DC, Documentary letter of credit, non-negotiable B/L (to mean only copy of B/L), airway bill (to mean air waybill), endorsement in air waybill, CIF Kennedy Airport, FOB Factory, C+F, CNF, C&F, CAF (to mean CFR), 1st, 2nd & 3rd original, All Risks, WA, FPA...should be discouraged to avoid confusions, mis-interpretations or repetition of obvious meanings.

We would call these as "verbal pollution", a term created to build better recalls.

A practitioner is judged by the terms he uses. Quite true.

From http://www.tolee.com

[edited 11/17/02 4:02:45 AM]