Applicant is not a party of LC. True or False ?

dulari · Post by **dulari** » Wed Mar 10, 2010 5:33 pm

Dear all cdcs examinee

Applicant is not considered as a party of LC.
True or False ?

Dulari
mostafag2565@yahoo.com

mohkahn · Post by **mohkahn** » Wed Mar 10, 2010 6:45 pm

Yes. Applicant is no party to LC, as far as I have heard.

The contract between Applicant and L/C issuing bank is
separate from the contract that gets formed (between the issuing bank
and advising, nominated, confirming, reimbursing bank + beneficiary)
as soon as an L/C is issued.

Let me know if I am right / wrong.

WARLORD77 · Post by **WARLORD77** » Wed Mar 10, 2010 9:05 pm

Agreed.

Armagedo · Post by **Armagedo** » Wed Mar 10, 2010 9:52 pm

saikryshna · Post by **saikryshna** » Thu Mar 11, 2010 2:44 pm

Yes I agreed.

Because the parties needed in an L/C is ISB and Beneficiary.

dulari · Post by **dulari** » Sun Mar 14, 2010 3:11 pm

saikryshna wrote:Yes I agreed.

Because the parties needed in an L/C is ISB and Beneficiary.

dear sir

In UCP 600 aritcle 2 , it clearly states that the applicant means the party on whose request the credit is issued . It apparently indicates that an applicant is a party of L/C. Proved as per ucp-600

dulari