Amendment of place of presentation

[shahriar]

dear friends,

We have received an amendment under a commercial letter of credit subject to UCP600 requesting a change in place of presentation; change in address to which document is to be forwarded. while this clause is written in SWIFT field 78 "Instructions to the Paying/Accepting/Negotiating Bank" will it be necessary for the beneficiary to accept it to be effective?

[picant]

Hi Pal,

IMHO, following the advice we used in the past, the instructions for reimbursement or payment were only for the advising, nominated bank.
Amendment of such instructions, that must be cancelled, when sending l/c wording(copy of original) to beneficiary,has to be made by MT 799 instead of MT707.
MT799 involves banks and not beneficiaries.

Naturally, other comments appreciated.

Ciao

[iLC]

change in address to which document is to be forwarded.

i assume that we are dealing with a cross border transaction here. changing the place of presentation (the issuing bank's counter probably) is not going to affect the right of the beneficiary anyway since he will be sending the document via courier. therefore i dont see any requirement for the consent of the beneficiary. while this is true, i need to mention that if the beneficiary has presented the document before this "amendment" the issuing bank should be held liable for any consequence. since there is no good answer for this in UCP 600, all the parties related should take extra caution.

[ORUNMILA]

HI all

i want to imagine a scenario where an lc is advise unconfirmed abintio, where the issuing bank has an account with the correspondent bank, but later on confimatiom was added or simply funds were provided. under this condition while doing this amendment the place of presentation would resonably change. .. and this change being deviation from the original terms and conditions ought to be accepted by the beneficiary which is in accordance with ucp subarticle10(c).

further clarifications are invited