transshipment on AWB

The forum is dedicated to all who deals with LCs. Please share your experiences, problems and opinions with us. You are requested to be confined to LC related issues only. Let us together discover the beauty of Letter of Credit. Thank and regards – admin; besttradesolution.com
Post Reply
coopermoon
Posts: 8
Joined: Thu Dec 10, 2009 2:38 am
First Name: ayla
Last Name: bakırcı
Organization: banking
Filter: Two Plus Two =: 4
Location: Turkey

transshipment on AWB

Post by coopermoon » Thu Mar 11, 2010 7:08 pm

Hi Pals,

LC calls for an AWB, transshipment not allowed and no sub-article excluded...

The presented AWB shows multiple flight numbers and airport names between the airport of departure and airport of destination stated in the credit.. therefore there is no statement on it stating that transshipment may or will take place..
I would like to learn whether you cosider such an AWB as discrepant or not...
Many people say it is acceptable depending on 23-c while I do not.. What I am not sure is whether I should see sth written on the awb that transshipment will take place in order to determine it is unacceptable? or what?
I would appreciate any view on this topic and pls explain why ... a little bit urgent.

Thank you all and best regards..

iLC
Posts: 504
Joined: Thu Jun 26, 2008 10:33 pm

no in my opinion

Post by iLC » Fri Mar 12, 2010 9:14 am

very good question dear coopermoon. in my opinion i would not have considered it as discrepancy even if the credit exclude the transshipment articles. flight numbers in my opinion are for official purpose only and there is no requirement to review them for compliance. comments appreciated

coopermoon
Posts: 8
Joined: Thu Dec 10, 2009 2:38 am
First Name: ayla
Last Name: bakırcı
Organization: banking
Filter: Two Plus Two =: 4
Location: Turkey

a misty issue

Post by coopermoon » Thu Mar 18, 2010 12:59 am

Dear iLC,

You may be right.. I think this issue is very misty on AWB, almost impossible to figure out because a cargo plane may land for unloading the parcels (or whatever) at not only one but some other airports and then fly again for another unloadings.... and each time it lands, it may have another flight numbers.. the easy way to solve this problem maybe is to recommend the customer to issue the lc allows for transshipment :)
But if I was the nominating bank it would be a really hard decision whether it complied or not, worrying about the issuing bank's decision.
I would really appreciate any other commands on the topic...
Regards,

Jackie
Posts: 59
Joined: Tue Feb 17, 2009 10:23 pm

Transshipment on AWB

Post by Jackie » Thu Mar 18, 2010 9:10 pm

Dear all

Personally I would not consider this as a discrepancy. There may be other considerations to also take into account when dealing with goods shipped by air. The goods may have already been taken up by the time the documents have arrived at the negotiating/issuing bank. I have seen this many times in my years working in this field.
Jackie

Negotiator
Posts: 47
Joined: Thu Mar 18, 2010 6:36 am
First Name: Ivan
Last Name: Lee
Organization: N Bank
Filter: Two Plus Two =: 4

Transshipment on AWB

Post by Negotiator » Sat Mar 20, 2010 9:07 pm

Dear all,

To the extent of the situation "coopermoon" asked, I think it does not make a discrepancy at all. Although the issuing bank may suspect transhipments from the AWB in question, the issuing bank must accept it provided that Sub-article 23.c.iii of UCP 600 is not excluded and that the entire carriage is covered by one and the same AWB.

However, I'm not sure if Sub-article 23.c.iii is expressly excluded by the credit.
Showing airport names other than the airport of departure and the airport of destination may not necessarily mean that the goods were transhipped to another aircraft. I have regarded that such an AWB would be an evidence of transhipment, but I change my thought from now on. Thanks for your good comments.
But as far as concered to the flight numbers, I'm still confusing. Is there any case that one aircraft is to be represented by multiple flight numbers albeit no transhipment is to be occurred? I would be appreciated very much if anyone comment about this point. :)

RGDS.
Lee

User avatar
shahriar
Posts: 923
Joined: Fri May 16, 2008 1:03 am
First Name: Shahriar
Last Name: Masum
Organization: Mutual Trust Bank
Filter: Two Plus Two =: 4
Location: Bangladesh

yes

Post by shahriar » Sat Mar 20, 2010 9:20 pm

yes, its possible for a single aircraft to have different flight no. the wiki definition of flight number is

A flight number, when combined with the name of the airline and the date, identifies a particular flight. This callsign should not be confused with the tail number of the aircraft, although both can be used as a call-sign as used in general aviation. A particular aircraft may fly several different flights in one day, and different aircraft may be used for the same flight number on successive days.

no discrepancy in my opinion.

Post Reply