Commission on Banking Technique and PracticeEducational Opinions of the ICC Banking Commission At the November 2009 Banking Commission meeting it was agreed that a two tier system of responding to queries would be introduced. The usual official opinions are to be supplemented by what will be known as educational responses. Queries submitted to the Banking Commission will be reviewed and placed into one of the two categories. Attached to this note are 8 new queries that have been designated by the Officers as being educational in nature. As the responses are considered to be educational, they will not be discussed at the Orlando meeting, are provided for your information only and no comments are requested. The initiators remain at liberty to subsequently request an official opinion, in which event the query will be re-submitted to national committees for comment at a later meeting. Although the intention is that these queries are not discussed, we did receive comments from a couple of ICC offices requesting that the last paragraph of the analysis and conclusion of TA718 be removed as they would not have the capability to support the pursuing of disputes with other ICC offices. As some ICC offices do not have the facilities or manpower that this may entail, the decision has been taken to remove the referenced paragraph. For your information, please find attached Educational Queries 470/TA727-734 26 July 2010/TS/wf Document 470/1148 Mrs. Yeliz Geriş ICC Turkey - ICC Türkiye Milli Komitesi Executive Director / Müdür V. Atatürk Bulvarı, No. 149 Bakanlıklar 06640 Ankara, Turkey 27 May 2010 Subject: Document 470/TA.727(ED) Dear Mrs. Geriş, Thank you for your query regarding UCP 600. Please find below the view(s) of the officers of the Banking Commission. QUOTE We have been seeing credits calling for bills of lading or multimodal transport documents and stating in the additional conditions field: 1) “Forwarders bill of lading is not acceptable”, or 2) “Transport documents issued by freight forwarders not acceptable”, or 3) “Transport documents issued or signed by freight forwarders not acceptable”. Under the foregoing conditions which of the following transport documents are acceptable? Case A: Issued on the letterhead of the carrier reading in part “DEF Shipping Line ..” and signed by a forwarder “ABC Freight Line Co …..” as agent for the carrier or for the master. Case B: Issued on the letterhead of the carrier reading in part “DEF Shipping Line …” and signed by the master. Case C: Issued on the letterhead of a forwarder reading in part “ABC Freight Line Co …” and signed by it as agent for a named carrier. Case D: Issued on the letterhead of a forwarder reading in part “ABC Freight Line Co …”, indicating separately the name of the carrier, signed by the forwarder as agent for the master. 26 July 2010/TS/wf Document 470/1148 Case D is not acceptable. Case B is acceptable. They do not necessarily reflect the view(s) of the ICC Banking Commission. a transport document issued and signed in the manner as stated in: Case A is acceptable. a transport document issued and signed in the manner as stated in: Case A is not acceptable. ANALYSIS & CONCLUSION The analysis and conclusion of the national committee is agreed. Case C is not acceptable. Case D is not acceptable. In respect of the condition mentioned under item 3. 2-Under a credit incorporating the condition in item 3. This –3– Document 470/1148 . however. the document must also be signed by a party acting as carrier or master and not a party as agent for either of them. In conclusion: 1-Under a credit incorporating the condition (s) in item 1 and 2. Case C is not acceptable. Case B is acceptable. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. in addition to the comments made above as to the act of “issue”. then the document becomes a carrier type document and must be accepted. once again the document must be accepted.NATIONAL COMMITTEE ANALYSIS AND CONCLUSION In respect of the conditions mentioned in item 1 and 2. the forwarder issues it on its letterhead and signs in the capacity of a carrier. where a credit states that a transport document “issued or signed” by a forwarder is not acceptable. the credit is prohibiting the transport document being issued on the letterhead of the forwarder. Similarly. If. if the transport document is issued on the letterhead of the carrier and signed by the forwarder as agent for the carrier or for the master. Thierry Senechal Policy Manager Banking Commission –4– Document 470/1148 . Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s).query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. Neither the ICC nor any of its employees. Yours sincerely. nor any member of the Banking Commission. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. including the Chairman. or do they still reserve the right to reject in line with the content of UCP 600 sub-article 18 (b). provided the bank in question has not honoured or negotiated for an amount in excess of that permitted by the credit. or a nominated bank acting on its nomination. Turkey 27 May 2010 Subject: Document 470/TA. but the invoice is issued for an amount that is higher than that of the standby. as the case may be. any standby letter of credit)”. The beneficiary's certificate complies. Sub-article 18 (b) reads “A nominated bank acting on its nomination. Yeliz Geriş ICC Turkey . please advise whether the issuing bank or a confirming bank. QUOTE Under a standby credit subject to UCP600. if any.Mrs.” 26 July 2010/TS/wf Document 470/1148 .08 (e) of ISP98. No. must accept such invoice as with the case of subrule 3. Bearing in mind that the invoice is a supporting document. 149 Bakanlıklar 06640 Ankara. Atatürk Bulvarı. and its decision will be binding upon all parties. in addition to a beneficiary's certificate. Please find below the view(s) of the officers of the Banking Commission.728 (ED) Dear Mrs. a copy of an unpaid invoice is required to be presented. a confirming bank.ICC Türkiye Milli Komitesi Executive Director / Müdür V. Geriş. if any. NATIONAL COMMITTEE ANALYSIS AND CONCLUSION Article 1 of UCP600 states in part that the rules shall “apply to any documentary credit (“credit”) (including to the extent to which they may be applicable. Thank you for your query regarding UCP 600. or the issuing bank may accept a commercial invoice issued for an amount in excess of the amount permitted by the credit. ANALYSIS & CONCLUSION The analysis and conclusion of the national committee is agreed. as stated in the query. confirming bank or a nominated bank acting on its nomination. However. does not have any grounds to refuse the invoice. the invoice in this case is a supporting document and a bank may not be expected to know the complete payment terms relating to the underlying transaction on which the standby may be based. the issuing bank. They do not necessarily reflect the view(s) of the ICC Banking Commission. nor any member of the Banking Commission. Neither the ICC nor any of its employees. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above.The issue raised in the query highlights one of the many problems that can arise when a standby credit is issued subject to the UCP. Provided the amount of the invoice is not less than the amount demanded. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). Thierry Senechal Policy Manager Banking Commission –6– Document 470/1148 . including the Chairman. Yours sincerely. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. article 32.ICC Türkiye Milli Komitesi Executive Director / Müdür V. Turkey 27 May 2010 Subject: Document 470/TA. the standby credit ceases to be available for that and the second drawing.000. Yeliz Geriş ICC Turkey . the credit ceases to be available for that and any subsequent instalment.000. 149 Bakanlıklar 06640 Ankara. NATIONAL COMMITTEE ANALYSIS AND CONCLUSION Article 1 of UCP 600 states in part that the rules shall “apply to any documentary credit (“credit”) (including to the extent to which they may be applicable. It follows that if the first drawing is not made partly or wholly within the period specified. No. by its heading and content. Article 32 states that if a drawing or shipment by instalments within given periods is stipulated in the credit and any instalment is not drawn or shipped within the period allowed for that instalment. Geriş. QUOTE A standby credit. subject to UCP 600. any standby letter of credit)”. stipulates instalment drawings as follows: USD50. will apply to any credit issued subject to UCP 600 that contains an instalment drawing or shipment schedule. Thank you for your query regarding UCP 600. Therefore.Mrs.00 may be drawn between 01 Jan 2010 and 01 Mar 2010.00 may be drawn between 02 March 2010 and 01 May 2010. Please advise whether the standby credit ceases to be available for the first and second instalment if the beneficiary does not draw partly or wholly under the first instalment between 01 Jan 2010 and 01 Mar 2010. 26 July 2010/TS/wf Document 470/1148 .729 (ED) Dear Mrs. USD50. Atatürk Bulvarı. Please find below the view(s) of the officers of the Banking Commission. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). Neither the ICC nor any of its employees. article 32 should always be excluded. Yours sincerely. They do not necessarily reflect the view(s) of the ICC Banking Commission. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. ANALYSIS & CONCLUSION The analysis and conclusion of the national committee is agreed. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. including the Chairman. nor any member of the Banking Commission. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval.It is for this reason that where an instalment drawing schedule is stated in a standby credit subject to UCP 600. Thierry Senechal Policy Manager Banking Commission –8– Document 470/1148 . regardless of whether the policy is delivered or not. Atatürk Bulvarı. having their final due 26 July 2010/TS/wf Document 470/1148 . and that a delay payment by credit card is granted to the policy holder. Geriş. Please advise acceptability of these clauses according to article 28 of UCP 600. the liability of the insurer commences upon the withdrawal of the first installment (down payment) or all of the premium from the credit card on the preagreed day.730 (ED) Dear Mrs. the insurer's obligation shall in no way commence unless the premium is paid or the down payment is made. There is no marking of premium paid on the policy. The insured shall be deemed to be in default in case he/she fails to pay the insurance premium or in cases when the parties agree to have the premium paid in installments. Clause 1: PREMIUM PAYMENTS AND POLICY ANNULMENT CLAUSE: Unless otherwise agreed. Turkey 27 May 2010 Subject: Document 470/TA. No. Yeliz Geriş ICC Turkey .ICC Türkiye Milli Komitesi Executive Director / Müdür V. Please find below the view(s) of the officers of the Banking Commission.Mrs. down payment or any one of the installments. QUOTE We have been seeing the following clauses on insurance documents. Clause 2: In cases when it's agreed that the first installment (down payment) or all of the premium is paid by the policy holder by credit card rather than in cash upon his/her consent and request. 149 Bakanlıklar 06640 Ankara. Thank you for your query regarding UCP 600. on the claim payment day and on the policy issuance day." There is no marking of premium paid on the policy. The document is discrepant. the assured (insured party) agrees to pay the additional premium arising from the difference between the foreign exchange rates.dates stipulated on the policy until the due date. – 10 – Document 470/1148 . ABC INSURANCE hereby agree. NATIONAL COMMITTEE ANALYSIS AND CONCLUSION Clause 1: The clause expressly indicates that even if the policy is issued and delivered it will not be effective unless the premium is paid. there should be evidence that the premium had been paid for the insurance to be effective. in consideration of the payment to us by or on behalf of the assured of the premium as arranged. liability or expense to the extent and in the manner herein provided." There is no marking of premium paid on the policy. damage. The terms of the credit are CIF. Therefore. the insurance is cancelled. then the provisions of the Obligations Code shall become applicable and the contract shall be annulled at once without any further notice in compliance with paragraph 3 of article 107 of Obligations Code. Clause 3: We. There is no indication that the premium has been paid. The document is discrepant. to insure against loss. Clause 4: In case of any claim payment through this policy. In case the insured is in default by failing to pay the premium. Clause 2: The clause expressly indicates that if any part of the premium is not paid. Clause 3: By stating "in consideration of the agreed premium paid to the Company" reference to 'the agreed premium paid' would not imply that the premium is still to be paid. They do not necessarily reflect the view(s) of the ICC Banking Commission. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. Unless there is a statement on the document that the premium is unpaid or similar. – 11 – Document 470/1148 . However. Clause 4: Given that the terms of the credit are CIF. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. The document is discrepant. the clause states that in case of any claim the assured will pay the additional premium before being paid under the policy. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. the document is acceptable. ANALYSIS & CONCLUSION The analysis and conclusion of the national committee is agreed. the insurance is contracted for by the beneficiary and premium is paid by it. Thierry Senechal Policy Manager Banking Commission – 12 – Document 470/1148 . Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). nor any member of the Banking Commission. Yours sincerely.Neither the ICC nor any of its employees. including the Chairman. be insured by any fire or other insurance policy or policies.” Does the above clause create a discrepancy? Clause 2: “This policy is prepared according to the material facts disclosed by the proposer as is shown in the proposal form and is subject to the enclosed general and special conditions and clauses attached and the Company hereby agrees to indemnify the Assured. against payment of the premium due. QUOTE We have been seeing the following clauses on insurance documents. Thank you for your query regarding UCP 600.ICC Türkiye Milli Komitesi Executive Director / Müdür V. Geriş.731 (ED) Dear Mrs. ICC (A) as 26 July 2010/TS/wf Document 470/1148 . Please find below the view(s) of the officers of the Banking Commission.Mrs. Clause 1: “This insurance does not cover any loss or damage to the property which at the time of happening of such loss or damage is insured by or would. No.e. 149 Bakanlıklar 06640 Ankara. can we deem the indication of clauses i. except in respect of any excess beyond the amount which would have been payable under the fire or other insurance policy or policies had this insurance not been effected. Turkey 27 May 2010 Subject: Document 470/TA. in case of a marine peril as described above". Atatürk Bulvarı. Yeliz Geriş ICC Turkey . Please advise how should "enclosed general and special conditions and clauses attached" be interpreted. but for the existence of this Policy. or the point at which the respective Institute clauses designate as closure. Clause 4 “CAUTION: This policy is subject to the following mentioned conditions and warranties: 1.01. Please advise whether this creates a discrepancy.” There is no data on any required document meeting the above mentioned condition. The intent of an insurance document presented under a credit is that it is a stand-alone document that is capable of being claimed under following any event that falls under the risks that are covered. NATIONAL COMMITTEE ANALYSIS AND CONCLUSION Clause 1: An insurance document should cover the designated risks from the date of shipment (at the latest) to the point where the credit may state that the insurance is to cease.2001) during the transport. Vessel should also be complied with the ISM requirements. the transporting vessel(s) have a valid ISM Certificate and Classification Certificate (according to Institute Classification Clause 01. Therefore. 2. 4.2001 as per attached wording. the vessel being nominated should be complied with the stipulation stated thereof. Vessel should also be a member of a respected P & I (Protection & Indemnity) club member of International Group. if and only if.” Clause 3: “The cover will be valid. A vessel which does not have above mentioned qualifications and are aged over 35 and tankers aged over 15 will not be covered.required by the credit and shown on the policy sufficient or must we look for general and special conditions in these other pages to be physically attached/enclosed to the insurance policy itself due to the wording "enclosed general and special conditions.01.” There is no data on any required document meeting the above mentioned conditions. Please advise whether this creates a discrepancy. The vessel should be fully classed and class maintained with class society member of IACS (including Turk Lloyd) as per Institute Classification Clause 01. 3. – 14 – Document 470/1148 . the document is incomplete and discrepant. the insurance may be considered null and void by the insurer. The document is discrepant. Clause 3: The expectation of an applicant. when calling for an insurance document. the goods will not be covered if the risk was covered by any other policy that may be in place at the same time for that purpose.3 the expectation of an applicant. The document is discrepant. Clause 2: Reference to "enclosed" can be deemed to be clauses that are referenced within the document itself such as ICC (A) etc.However. – 15 – Document 470/1148 . ANALYSIS & CONCLUSION The analysis and conclusions of the national committee are agreed. the wording implies that in the event of loss or damage. is the presentation of a free standing document that operates in its own right and without it being subject to pre-conditions. is the presentation of a free standing document that operates in its own right and without it being subject to pre-conditions. Since there is no data on any required document meeting the conditions as required by the clause. except in respect of Clause 1. the insurance may be considered null and void by the insurer. Absent such attachment(s). The document is discrepant. when calling for an insurance document. Clause 4: Similar to the conclusion to clause no. However. Since there is no data on any required document meeting the conditions as required by the clause. where it refers to "clauses attached" then there is a specific requirement for the policy to contain some form of attachment(s) that complete the policy document. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). including the Chairman. Neither the ICC nor any of its employees. whether or not the documents appear on their face to constitute a complying presentation. a confirming bank. and the issuing bank to examine a presentation to determine. Thierry Senechal Policy Manager Banking Commission – 16 – Document 470/1148 . Yours sincerely. There appears to be no evidence that any other insurance has been taken out for the same shipment and therefore the bank should examine the document on the basis that it is the sole insurance document for the shipment at hand.Sub-article 14 (a) requires a nominated bank acting on its nomination. They do not necessarily reflect the view(s) of the ICC Banking Commission. on the basis of the documents alone. nor any member of the Banking Commission. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. if any. Please find below the view(s) of the officers of the Banking Commission. (blank) Date: 13/10/2009 Endorsed at.Mrs. the first sentence of ISBP681. Furthermore. Thank you for your query regarding UCP 600. Is the document discrepant for the missing issuance date or the effectiveness date. 13/10/2009..e. Geriş. unless it appears from the insurance document that the cover is effective from a date not later than the date of shipment. transport documents and insurance documents must be dated even if a credit does not expressly so require. i. 26 July 2010/TS/wf Document 470/1148 . Yeliz Geriş ICC Turkey .. 149 Bakanlıklar 06640 Ankara.732 (ED) Dear Mrs. Atatürk Bulvarı. The shipment date is the same as countersignature date.. paragraph 13 states that drafts. in preprinted wording. or may the countersignature date be taken as the effective date of the policy and the policy is acceptable? NATIONAL COMMITTEE ANALYSIS AND CONCLUSION Sub-article 28 (e) states that the date of the insurance document must be no later than the date of shipment. As is seen.. "Not valid unless countersigned by ABC" and underneath "Countersigned at . the endorsement date is missing and there is no issue or effectiveness date shown in the document. QUOTE An insurance policy shows at the bottom. No.. Turkey 27 May 2010 Subject: Document 470/TA.. (this field is also blank)".ICC Türkiye Milli Komitesi Executive Director / Müdür V. Thierry Senechal Policy Manager Banking Commission – 18 – Document 470/1148 . Neither the ICC nor any of its employees. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). Yours sincerely. The analysis and conclusion of the national committee is agreed subject to the above comments. the countersignature date would serve as evidence of the effective date of the insurance coverage. ANALYSIS & CONCLUSION It should be noted that “Endorsed at ….. In the case at hand. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. including the Chairman. The inclusion of the countersignature date deems an indication or otherwise of the date of issue (endorsement date) in the document is not necessary. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered.” is signifying the adding of a place and not a date of the endorsement. the notion of “date” mentioned in subarticle 28 (e) and ISBP paragraph 13 should not be confined merely to the issue date of the document but rather to the date on which the document becomes effective. the date of the countersignature is the date that the insurance becomes effective which should be examined by banks to determine the compliance with the credit and UCP. They do not necessarily reflect the view(s) of the ICC Banking Commission. The document is compliant. nor any member of the Banking Commission. Absent any other date.As regards the insurance document. as stated in the opinion quoted in the query. it is signed by another company declaring itself "as agent" without further stating "on behalf of the Insurance Company above" or "on behalf of ABC Company" or "on behalf of Insurance Company. 149 Bakanlıklar 06640 Ankara.g. However. Please advise whether the document is discrepant. Atatürk Bulvarı.. a bank needs to know the connection with the signing party and the insurance company/underwriter on which the signing party has acted. as agent for ABC Company” or elsewhere in the document. No. Geriş. It follows therefore that the document must indicate on whose behalf the agent is signing or acting either as part of the signing process.733 (ED) Dear Mrs. QUOTE An insurance document is issued on the insurance company's headed paper (ABC Company).” Moreover. “DEF. Please find below the view(s) of the officers of the Banking Commission. We understand from ICC Opinion R685 that the document is not acceptable.Mrs. ABC Company". Turkey 27 May 2010 Subject: Document 470/TA. NATIONAL COMMITTEE ANALYSIS AND CONCLUSION The second paragraph of sub-article 28 (a) of UCP 600 states “[A]ny signature by an agent or proxy must indicate whether the agent or proxy has signed for or on behalf of the insurance company or underwriter. Yeliz Geriş ICC Turkey .ICC Türkiye Milli Komitesi Executive Director / Müdür V. e. 26 July 2010/TS/wf Document 470/1148 . Thank you for your query regarding UCP 600. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). the same position would prevail under UCP 600 in respect of this query.The document is discrepant. Thierry Senechal Policy Manager Banking Commission – 20 – Document 470/1148 . including the Chairman. Yours sincerely. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. They do not necessarily reflect the view(s) of the ICC Banking Commission. ANALYSIS & CONCLUSION Although ICC Opinion R.685 was issued in connection with a credit subject to UCP 500. nor any member of the Banking Commission. The analysis and conclusion of the national committee is agreed. Neither the ICC nor any of its employees. Mr. Although we realise that the clauses referred to are not subject to any specific UCP article. we believe that such clauses are so common that an opinion from the ICC would be beneficial in ensuring all parties apply a uniform understanding. Thank you for your query regarding UCP 600. since we recently experienced difficulties with their interpretation. Gunster. In our opinion. The following is the exact wording of the clause in dispute and is a clause we see in varying forms in L/Cs on a regular basis. XXXXX Unquote The problem seems to be the interpretation of the word “except” and what effect it has on the clause. Only the remainder of the documents must comply. bills of lading.O.734(ED) Dear Mr. The clause quoted appears in a L/C issued subject to UCP 600. Wilko Gunster Secretary General ICC Nederland Bezuidenhoutseweg 12 2594 AV DEN HAAG The Netherlands 27 May 2010 Subject: Document 470/TA. QUOTE We seek an opinion on the correct interpretation of the L/C clause(s) mentioned below. Please find below the view(s) of the officers of the Banking Commission. 26 July 2010/TS/wf Document 470/1148 . which requires presentation of drafts. invoices. no. the word means that the “excepted” document does not need to comply with the instruction that follows. packing lists and 4 different beneficiary certificates: (Example 1) Quote All documents except Bill of Lading must indicate this credit number and P. Since such L/C terms are not covered by any specific UCP article. L/C issuing date and name of issuing bank Unquote In this example. so long as all documents other than the bill of lading quote the credit and P. UNQUOTE NATIONAL COMMITTEE ANALYSIS Example 1. but to all the other documents to ensure they do not quote any of the forbidden information. numbers the clause is satisfied. the invoice and drafts may or may not quote any or all of this data. The fact that the bill of lading may or may not quote the credit and P. The emphasis in this condition is that all documents must indicate certain data except the bill of lading. We encounter banks which are of the opinion that the clause means that the bill of lading must not quote the credit and P. In this case. Invoice value. they must be applied literally and banks should not try to second guess the reasons for their inclusion. (Example 2) Quote All documents except Invoice and Drafts must not show Invoice number.O numbers is not a matter of concern since the document is “excepted” by the clause. Therefore. We would also like to add to the argument the following (actual) clause. some banks are of the opinion that the wording means that the invoice and draft may show the specified details. trade term.In this example.O. So with regard to the bill of lading there has been made an – 22 – Document 470/1148 . contract no..O numbers. since those documents have been “excepted”. L/C No. We kindly ask ICC Country N to endorse our opinion. unit price. the clause points the checker not in the direction of the invoice and drafts. Invoice date. name of applicant. which has a reverse effect but is nevertheless of a similar nature and follows the same principle. This is a clear rule prohibiting these numbers appearing on the bill of lading. Example 2. and excludes one or more documents from that demand. – 23 – Document 470/1148 . by its other terms and conditions. For example 2. In example 1. One should keep in mind however that certain data must be mentioned in the invoice and drafts according to a number of articles and paragraphs of UCP 600 and international standard banking practices (ISBP). However. requires such data appear on the invoices and drafts. The reply given is not to be construed as being other than solely for the benefit of guidance and there should be no legal imputation associated with the reply offered. However this condition does not prohibit the bill of lading mentioning the prescribed data. the excluded documents may or may not mention that data. NATIONAL COMMITTEE CONCLUSION In case the credit demands or prohibits that certain data is mentioned in documents. They do not necessarily reflect the view(s) of the ICC Banking Commission. The opinion(s) rendered on this query reflect the view(s) of the ICC Banking Commission’s officers based on the facts under “QUOTE” above. Unless the credit. However. The emphasis in this condition is that it is not allowed for the described data to be mentioned in documents except for the invoice and drafts. the credit is stating all documents except the bill of lading must indicate the credit number and P. O. the analysis and conclusion is agreed. ANALYSIS & CONCLUSION The analysis and conclusion of the national committee is not agreed in respect of example 1.exception in reference to the necessity. number. this condition does not demand that the invoice and drafts mention the prescribed data. This query is considered to be of an educational nature and will not be placed before the next Banking Commission meeting for approval. there is no requirement for all of this data to appear. So with regard to the invoice and drafts there has been made an exception in reference to this prohibition. it should be noted that most of the information would be included in an invoice without such requirements being specified in a credit. Vice-Chairmen or Technical Adviser shall be liable to any person for any loss or damage arising out of any act or omission in connection with the rendered opinion(s). Thierry Senechal Policy Manager Banking Commission – 24 – Document 470/1148 . nor any member of the Banking Commission.Neither the ICC nor any of its employees. including the Chairman. Yours sincerely.