Understanding ICC Rules (UCPDC) and Key Techniques for Applying on Documentary Credit (L/C) Operations
About Workshop
The objectives of the training are to make participants properly equipped of the International Chamber of Commerce’s Rule on Documentary Credit (also known as Letter of Credit) that governs International Trade worldwide, for more than 75 years. Documentary Credit transactions are document driven. The International Chamber of Commerce (ICC) and its Commission on Banking Technique and Practice (the Banking Commission) has developed practical rules for those documents. These practical rules are the Uniform Customs and Practice for Documentary Credits (UCPDC).The latest version of these rules, implemented on July1, 2007, is UCP 600.
During this training, attempts would also be made to demonstrate the way sellers and buyers (i.e. commercial parties, who seek to increase their access to cross boarder markets) and bankers have used this remarkable commercial device, the documentary credit, to achieve the objectives.
The training is exclusively on the “Uniform Customs and Practice for Documentary Credit (UCPDC)”, the International Chamber of Commerce’s Rules on documentary credit (also known as Letter of Credit) that govern international trade worldwide, for more than 75 years.
Exports-Imports Operation by way of Documentary Credit calls for proper understanding and in depth knowledge of UCPDC. But why?
• What does Documentary Credit mean
• What makes a Documentary Credit different form that of the Standby Letter of Credit
• How Documents under Documentary Credit (L/C) Operation Control the Payment Function
• What does complying presentation means
• Why documents under documentary Credits that incorporate the UCP must satisfy International Standard Banking Practice (ISBP)
• Do sellers and buyers remain protected under Documentary Credit Payment Method over other Methods of Payment used in international trade
• Why Banks are required to incorporate the UCP reference in their Letters of Credit
To learn these ICC rules and many other practical details regarding imports & exports through Documentary Credit (Letter of Credit) from the experience of a professional Banker, BD jobs invite you to the exclusive training on Uniform Customs & Practice for Documentary Credit (i.e. UCPDC).
Workshop topics to be covered:
Day: 1
Article: 1 – 13
Article 1: Application of UCP
Article 2: Definitions
Article 3: Interpretations
Article 4: Credits v. Contracts
Article 5: Documents v. Goods, Services or performance
Article 6: Availability, Expiry Date and Place for Presentation
Article 7: Issuing Bank Undertaking
Article 8: Confirming Bank Undertaking
Article 9: Advising of Credits and Amendments
Article 10: Amendments
Article 11: Teletransmitted and Pre-advised Credits and Amendments
Article 12: Nomination
Article 13: Bank to Bank Reimbursement Arrangements
Day: 2
Article: 14 - 26
Article 14: Standard for Examination of Documents
Article 15: Complying Presentation
Article 16: Discrepant Documents, Waiver and Notice
Article 17: Original Documents and Copies
Article 18: Commercial Invoice
Article 19: Transport Documents Covering at Least Two Different Modes of Transport
Article 20: Bill of Lading
Article 21: Non-Negotiable Sea Waybill
Article 22: Charter Part y Bill of Lading
Article 23: Air Transport Document
Article 24: Road, Rail or Inland Waterway Transport Documents
Article 25: Courier Receipt, Post Receipt or Certificate of Posting
Article 26: On Deck, Sipper’s Load and Count, Said by Shipper to Contain and Charges Additional to Freight
Day: 3
Article: 27 – 39
Article 27: Clean Transport Document
Article 28: Insurance Document and Coverage
Article 29: Extension of Expiry Date and Last day for Presentation
Article 30: Tolerance in Credit Amount, Quantity and Unit Prices
Article 31: Partial Drawings or Shipments
Article 32: Installment Drawings or Shipments
Article 33: Hours of Presentation
Article 34: Disclaimer on Effectiveness of Documents
Article 35: Disclaimer on Transmission and Translation
Article 36: Force Majeure
Article 37: Disclaimer for Acts of an Instructed Party
Article 38: Transferable Credits
Article 39: Assignment of Proceeds
Case studies
Open Discussion