1、PrefaceIn November 1989, the International Chamber of Commerce Commission on Banking Technique and Practice authorized the revision of the Uniform Customs and Practice for Documentary Credits Publication No.400.This revision was required to address new developments in the transport industry and new
2、technological applications. It is also intended to improve the functioning of the CUP. Some surveys indicate that approximately fifty percent of the documents presented under the Documentary Credit are rejected because of discrepancies or apparent discrepancies. This diminishes the effectiveness of
3、the Documentary Credit and can have a financial impact on those involved in the product. It may also increase the costs and reduce the profit margins of importers, exporters and banks. The marked increase in litigation involving Documentary Credits has also been of great concern.To address these que
4、stions, the Commission on Banking Technique and Practice established a Working Group for the revision of the CUP 400. This group was composed of international bankers, law professors, and banking lawyers to ensure that all of these issues were thoroughly explored. The Working Groups mandate was to (
5、1)simplify the UCP 400 Rules; (2)incorporate international banking practices, as well as to facilitate and standardize developing practices; (3)enhance the integrity and reliability of the Documentary Credit undertaking, through the presumption of irrevocability and clarification of the primary liab
6、ility, not only of the issuing bank, but also of the confirming bank; (4)address the problems of non-documentary conditions and(5)list, in detail, the elements of acceptability for each category of transport document.The Working Group considered not only the practice relative to the Documentary Cred
7、it, but also tried to envisage the future evolution of Documentary Credits. How should the Working Group predict what kind of Documentary Credit Rules would meet the future needs of international commerce? Should they be based on past performance using the existing Rules? Should they be based on cor
8、recting the current problems of misunderstanding and misapplying the Rules? Should they be based on the various international legal interpretations of Documentary Credits?In the end, The Working Groups analysis was conducted by utilizing various information sources available to the banking industry
9、and the transport industry, and by drawing upon their own considerable knowledge of the technological innovations being applied in other industries engaged in international trade. In order to achieve general Rules, rather than specific procedural Rules, the Working Group adopted as its working draft
10、 a document based on ICC National Committee Practices, important international judicial decisions, the Banking Commissions opinions and decisions, and case studies examined over the last 20 years. Consequently, the new revision of the UCP represents the culmination of extensive analysis, review, deb
11、ate, and compromise amongst the various members of the Working Group, the members of the Banking Commission and the respective National Committees of the ICC.What were the individual contributions of the members of our Working Group that helped formulate these new UCP 500 Rules? Clearly, both in our
12、 individual and professional lives we learn more from year to year because we remember what we have learned and built up our knowledge and experience.This was the strength that the members of the Working Group brought to the revision process. It allowed them to develop a neutral and living set of Ru
13、les to facilitate the efforts of the parties engaged in the Documentary Credit undertaking. Understandably, it is not within the scope of this publication to go into detail regarding the comprehensive analysis performed by the Working Group. Neither is it the purpose to argue the merits of what has
14、been done. Those interested in pursuing the subject will find the ICC Publication No.511-Documentary Credits: UCP 500 and 400 compared -an article-by-Article Analysis-available for this purpose. Sincere thanks are due to the ICC National Committees and the members of the Banking Commission for their
15、 professional and constructive comments and their participative approach. Thanks are also due to those countries without National Committees (reached primarily through the United Nations Commission on International Trade Law) whose support and participation have been of great importance and value, a
16、s well as to other UN bodies concerned with the facilitation of international trade procedures.To share with you the names of those participants, I list below in alphabetical order the members of the Working Group and their affiliation:Boris Kozolchyk-Professor of Law, University of Arizona, Tucson,
17、 Arizona, U.S.A.;Representative of the United States Council on International Banking Inc., New York, to the Working Group on the Revision of the UCP; Salvatore Maccarone-Professor of Law, University of Rome; Legal Adviser, Italian Banking Association, Rome;Vice chairman, ICC Commission on Banking T
18、echnique and Practice. Terence J. Mitchell(now retired)-Senior Manager, Documentary Services, Lloyds Bank, London; British Bankers Association Representative to the ICC Commission on Banking Technique and Practice;Ferdinand Muller-First Vice President, Deutsche Bank AG, Frankfurt, Germany; Represent
19、ative and Technical Adviser to the ICC Commission on Banking Technique and Practice;Gunnar J. Siebke-Senior Vice President, Trade Finance, Christinia Bank, Oslo, Norway; Representative to the ICC Commission on Banking Technique and Practice;Dan Taylor-President, United States Council on Internationa
20、l Banking Inc., New York; Representative to the ICC Commission on Banking Technique and Practice;Joachim G. Weichbrodt-Legal Adviser, Dresdner Bank AG, Frankfurt, Germany; Representative to the ICC Commission on Banking Technique and Practice;Bernard S. Wheble CBE, Surrey, England ;-Honorary Chairma
21、n, ICC Commission on Banking Technique and Practice;Stefan Draszczyk-Head of Division, International Chamber of Commerce, Paris, France.The undersigned had the pleasure of chairing the Working Group. It was through the generous contribution of their knowledge and time that this revision was accompli
22、shed so successfully. As Chairman of the ICC Commission on Banking Technique and Practice, I extend to them and to their institutions my deepest appreciation for their contribution, for a job well done and for their friendship. The ICC is grateful for their selfless commitment to this work.Charles d
23、e Busto ChairmanICC Commission on Banking Technique and Practice;March 10,1993A. GENERAL PROVISIONS AND DEFINITIONSArticle 1 Application of UCPThe Uniform Customs and Practice for Documentary Credits, 1993 Revision, ICC Publication No. 500, shall apply to all Documentary Credits (including to the ex
24、tent to which they may be applicable, Standby Letter(s) of Credit) where they are incorporated into the text of the Credit. They are binding on all parties thereto, unless otherwise expressly stipulated in the Credit.Article 2 Meaning of CreditFor the purposes of these Articles, the expressions “Doc
25、umentary Credit(s)“ and “Standby Letter(s) of Credit“(hereinafter referred to as “Credit(s)“), mean any arrangement, however named or described, whereby a bank (the “Issuing Bank“) acting at the request and on the instructions of a customer (the “Applicant“) or on its own behalf,i.is to make a payme
26、nt to or to the order of a third party (the “Beneficiary“),or is to accept and pay bills of exchange (Draft(s) drawn by the Beneficiary,or ii. authorizes another bank to effect such payment, or to accept and pay such bills of exchange (Draft(s),oriii. authorizes another bank to negotiate. For the pu
27、rposes of these Articles, branches of a bank in different countries are considered another bank. Article 3 Credits v. Contractsa. Credits, by their nature, are separate transactions from the sales or other contract(s) on which they may be based and banks are in no way concerned with or bound by such
28、 contracts (s), even if any references whatever to such contract(s) is included in the Credit. Consequently, the undertaking of a bank to pay, accept and pay draft(s) or negotiate and/or to fulfil any other obligation under the Credit, is not subject to claims or defences by the Applicant resulting
29、from his relationships with the Issuing Bank or the Beneficiary.b. A Beneficiary can in no case avail himself of the contractual relationships existing between the banks or between the Applicant and the Issuing Bank.Article 4 Documents v. Goods /Service /PerformancesIn Credit operations all parties
30、concerned deal with documents, and not with goods, services and/or other performances to which the documents may relate.Article 5 Instructions to Issue/Amend Creditsa. Instructions for the issuance of a Credit, the Credit itself, instructions for an amendment thereto, and the amendment itself, must
31、be complete and precise. In order to guard against confusion and misunderstanding, banks should discourage any attempt:b. i. to include excessive detail in the Credit or in any amendment thereto;ii. to give instructions to issue, advise or confirm a Credit by reference to a Credit previously issued
32、(similar Credit ) where such previous Credit has been subject to accepted amendment ( s ), and/or unaccepted amendment( s ).b. All instructions for the issuance of a Credit and the Credit itself and, where applicable, all instructions for amendment thereto and the amendment itself must state precise
33、ly the document( s ) against which payment, acceptance or negotiation is to be made.B. FORMS AND NOTIFICATION OF CREDITSArticle 6 Revocable v. Irrevocable Creditsa. A Credit may be either : i. revocable, or ii. irrevocable. b. The Credit, therefore, should clearly indicate whether it is revocable or
34、 irrevocable.c. In the absence of such indication the Credit shall be deemed to be irrevocable.Article 7 Advising Banks Liabilitya. A Credit may be advised to a Beneficiary through another bank (the “Advising Bank“) without engagement on the part of the Advising Bank, but that bank, if it elects to
35、advise the Credit, shall take reasonable care to check the apparent authenticity of the Credit which it advises. If the bank elects not to advise the Credit, it must so inform the Issuing Bank without delay.b.If the Advising Bank cannot establish such apparent authenticity, it must inform, without d
36、elay, the bank from which the instructions appear to have been received that it has been unable to establish the authenticity of the Credit, and if it elects nonetheless to advise the Credit, it must inform the Beneficiary that it has not been able to establish the authenticity of the Credit.Article
37、 8 Revocation of a Credit a. A revocable Credit may be amended or cancelled by the Issuing Bank at any moment and without prior notice to the Beneficiary.b. However the Issuing Bank must:i. reimburse another bank with which a revocable Credit has been made available for sight payment, acceptance or
38、negotiation made by such bank prior to receipt by it of notice of amendment or cancellation, against documents which appear on their face to be in compliance with the terms and conditions of the Credit;ii. reimburse another bank with which a revocable Credit has been made available for deferred paym
39、ent, if such a bank has, prior to receipt by it of notice of amendment or cancellation, taken up documents which appear on their face to be in compliance with the terms and conditions of the Credit.Article 9 Liability of Issuing and Confirming Banksa. An irrevocable Credit constitutes a definite und
40、ertaking of the Issuing Bank, provided that the stipulated documents are presented to the Nominated Bank or to the Issuing Bank and that the terms and conditions of the Credit are complied with:i. if the Credit provides for sight payment-to pay at sight;ii. if the Credit provides for deferred paymen
41、t-to pay on the maturity date( s ) determinable in accordance with the stipulations of the Credit;iii. if the Credit provides for acceptance:a) by the Issuing Bank-to accept Draft( s ) drawn by the Beneficiary on the Issuing Bank and pay them at maturity, orb) by another drawee bank-to accept and pa
42、y at maturity Draft( s ) drawn by the Beneficiary on the Issuing Bank in the event the drawee bank stipulated in the Credit does not accept Draft( s ) drawn on it, or to pay Draft( s ) accepted but not paid by such drawee bank at maturity;iv. if the Credit provides for negotiation- to pay without re
43、course to drawers and/or bona fide holders, Draft( s ) drawn by the Beneficiary and/or document( s ) presented under the Credit. A Credit should not be issued available by draft( s ) on the Applicant. If the Credit nevertheless calls for Draft( s ) on the Applicant, banks will consider such Draft( s
44、 ) as an additional Document( s ).b. A confirmation of irrevocable Credit by another bank (the “Confirming Bank“) upon the authorization or request of the Issuing Bank, constitutes a definite undertaking of the Confirming Bank, in addition to that of the Issuing Bank, provided that the stipulated do
45、cuments are presented to the Confirming Bank and that the terms and conditions of the Credit are complied with:i. if the Credit provides for sight payment-to pay at sight;ii. if the Credit provides for deferred payment-to pay on the maturity date( s ) determinable in accordance with the stipulations
46、 of the Credit;iii. if the Credit provides for acceptance:a) by the Confirming Bank-to accept Draft(s) drawn by the Beneficiary on the Confirming Bank and pay them at maturity, orb) by another drawee bank-to accept and pay at maturity Draft(s) drawn by the Beneficiary on the Confirming Bank, in the
47、event the drawee bank stipulated in the Credit does not accept Draft(s) drawn on it, or to pay Draft(s) accepted but not paid by such drawee bank at maturity;iv. if the Credit provides for negotiation-to negotiate without recourse to drawers and/or bona holders, Draft(s) drawn by the Beneficiary and
48、/or document(s) presented under the Credit. A Credit should not be issued available by draft(s) on the Applicant. If the Credit nevertheless calls for Draft(s) on the applicant, banks will consider such Draft(s) as an additional document(s).c. i. if another bank is authorized or required by the Issu
49、ing Bank to add its confirmation to a Credit but is not prepared to do so, it must so inform the Issuing Bank without delay.ii. Unless the Issuing Bank specifies otherwise in its authorization or request to add confirmation, the Advising Bank may advise the Credit to the Beneficiary without adding its confirmation.d.i. Except as otherwise provided by Article 48, an irrevocable Credit can neither be amended nor cancelled without the agreement of the Issuing Bank, the Confirming Bank, if any, and the Beneficiary.ii. The Issuing Bank shall be i
