Whether The Issuing Bank Can Hold The Docs Further More Days

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nazimsco
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Whether The Issuing Bank Can Hold The Docs Further More Days

Post by nazimsco » Fri Dec 13, 2013 1:17 pm

Just very recently we forwarded our original shipping documents to the issuing Bank through our Bank. The docs delivered to the Issuing Bank on 09th Dec. at 3.15 pm in the afternoon. Now we received MT734 informing that the BILL OF LADING: UNNAMED CARRIER. Our Bank replied through MT999 that KINDLY NOTE THAT THE BILL OF LADING CLEARLY MENTIONS THE CARRIER NAME AS -SEAMARINE. KINDLY PAY WITHOUT DEDUCTING DISCREPANCY CHARGES. This 2nd part shipment in the same LC.

Now today is 5th day, please clarify whether the issuing Bank can hold the docs further more days ?? Today we received mail from the applicant wants discount and want to us instruct the bank to deduct the discount of from Invoice, which we are declined to do so. This is no way connected to the LC nor mentioned Proforma Invoice nor Contract reference. We have not replied to the applicant's mail. We want full payment from the Bank. The documents are strictly as per LC terms. Please suggest us ??

abrar
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Discrepancies

Post by abrar » Sun Dec 15, 2013 3:17 pm

One would have to first determine whether the discrepancy is correct and without viewing the B/L this is not straightforward.

Secondly, one would have to view the full contents of the refusal notice from the issuing bank and review whether the refusal notice is compliant under UCP provisions (Art 14-16) and not subject to preclusion.

If there are deficiencies in one or more of the above points, the issuing bank should be challenged to make immediate payment. However, if the refuse due to their own mistake if fact, the only remedy left is to seek arbitration or legal measures.

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