UniformCustomsandPracticeforDocumentaryCredits(1993Revision)A.GENERALPROVISIONSANDDEFINITIONSArticle1.ApplicationofUCPTheUniformCustomsandPracticeforDocumentaryCredits,1993Revision,ICCPublicationNo.500,shallapplytoalldocumentaryCredits(includingtotheextenttowhichtheymaybeapplicable,StandbyLetter(s)ofCredit)wheretheyareincorporatedintothetextoftheCredit.Theyarebindingonallpartiesthereto,unlessotherwiseexpresslystipulatedintheCredit.Article2.MeaningofCreditForthepurposesoftheseArticles,theexpressions"DocumentaryCredit(s)"and"StandbyLetter(s)ofCredit"(hereinafterreferredtoas"Credit(s)"),rmeananyarrangement,howevernamedordescribed,wherebyabank(the"IssuingBank")actingattherequestandontheinstructionsofacustomer(the"Applicant")oronitsownbehalf,i)istomakeapaymenttoortotheorderofathirdparty(the"Beneficiary"),oristoacceptandpaybillsofexchange(Draft(s))drawnbytheBeneficiary,orii)authorisesanotherbanktoeffectsuchpayment,ortoacceptandpaysuchbillsofexchange(Draft(s)),oriii)authorisesanotherbanktonegotiate,againststipulateddocument(s),providedthatthetermsandconditionsoftheCreditarecompliedwith.ForthepurposesoftheseArticles,branchesofabankindifferentcountreisareconsideredanotherbank.Article3.Creditsv.Contractsa.Credits,bytheirnature,areseparatetransactionsfromthesalesorothercontract(s)onwhichtheymaybebasedandbanksareinnowayconcernedwithorboundbysuchcontract(s),evenifanyreferencewhatsoevertosuchcontract(s)isincludedintheCredit.Consequently,theundertakingofabanktopay,acceptandpayDraft(s)ornegotiateand/ortofulfilanyotherobligationundertheCredit,isnotsubjecttoclaimsordefencesbytheApplicantresultingfromhisrelationshipswiththeIssuingBankortheBeneficiary.b.ABeneficiarycaninnocaseavailhimselfofthecontractualrelationshipsexistingbetweenthebanksorbetweentheApplicantandtheIssuingBank.Article4.Documentsv.Goods/Services/PerformancesInCreditoperationsallpartiesconcerneddealwithdocuments,andnotwithgoods,servicesand/orotherperformancestowhichthedocumentsmayrelate.Article5.InstructionstoIssue/AmendCreditsa.InstructionsfortheissuanceofaCredit,theCredititself,instructionsforanamendmentthereto,andtheamendmentitself,mustbecompleteandprecise.Inordertoguardagainstconfusionandmisunderstanding,banksshoulddiscourageanyattempti)toincludeexcessivedetailintheCreditorinanyamendmentthereto;ii)togiveinstructionstoissue,adviseorconfirmaCreditbyreferencetoaCreditpreviouslyissued(similarCredit)wheresuchpreviousCredithasbeensubjecttoacceptedamendment(s),and/orunacceptedamendment(s),b.AllinstructionsfortheissuanceofaCreditandtheCredititselfand,whereapplicable,allinstructionsforanamendmenttheretoandtheamendmentitself,muststatepreciselythedocument(s)againstwhichpayment,acceptanceornegotiationistobemade.B.FORMANDNOTIFICATIOINOFCREDITSArticle6.Revocablev.IrrevocableCreditsa.ACreditmaybeeitheri)revocable,orii)irrevocable.b.TheCredit,therefore,shouldclearlyindicatewhetheritisrevocableorirrevocable.c.IntheabsenceofsuchindicationtheCreditshallbedeemedtobeirrevocable.Article7.AdvisingBank'sLiabilitya.ACreditmaybeadvisedtoaBeneficiarythroughanotherbank(the"AdvisingBank")withoutengagementonthepartoftheAdvisingBank,butthatbank,ifitelectstoadvisetheCredit,shalltakereasonablecaretochecktheapparentauthenticityoftheCreditwhichitadvises.IfthebankelectsnottoadvisetheCredit,itmustsoinformtheIssuingBankwithoutdelay.b.IftheAdvisingBankcannotestablishsuchapparentauthenticityitmustinform,withoutdelay,thebankfromwhichtheinstructionsappeartohavebeenreceivedthatithasbeenunabletoestablishtheauthenticityoftheCreditandifitelectsnonethelesstoadvisetheCredititmustinformtheBeneficiarythatithasnotbeenabletoestablishtheauthen,ticityoftheCredit.Article8.RevocationofaCredita.ArevocableCreditmaybeamendedorcancelledbytheIssuingBankatanymomentandwithoutpriornoticetotheBeneficiary.b.However,theIssuingBankmust:i)reimburseanotherbankwithwhicharevocableCredithasbeenmadeavailableforsightpayment,acceptanceornegotiation-foranypayment,acceptanceornegotiationmadebysuchbank-priortoreceiptbyitofnoticeofamendmentorcancellation,againstdocumentswhichappearontheirfacetobeincompliancewiththetermsandconditionsoftheCredit,ii)reimburseanotherbankwithwhicharevocableCredithasbeenmadeavailablefordeferredpayment,ifsuchabankhas,priortoreceiptbyitofnoticeofamendmentorcancellation,takenupdocumentswhichappearontheirfacetobeincompliancewiththetermsandconditionsoftheCredit.Article9.LiabilityofIssuingandConfirmingBanksa.AnirrevocableCreditconstitutesadefiniteundertakingoftheIssuingBank,providedthatthestipulateddocumentsarepresentedtotheNominatedBankortotheIssuingBankandthatthetermsandconditionsoftheCreditarecompliedwith:i)iftheCreditprovidesforsightpayment-topayatsight;ii)iftheCreditprovidesfordeferredpayment-topayonthematuritydate(s)determinableinaccordancewiththestipulationsoftheCredit;iii)iftheCreditprovidesforacceptance;(a)bytheIssuingBank-toacceptDraft(s)drawnbytheBeneficiarqontheIssuingBankandpaythematmaturity,or(b)byanotherdraweebank-toacceptandpayatmaturityDraft(s)drawnbytheBeneficiaryontheIssuingBankintheeventthedraweebankstipulatedintheCreditdoesnotacceptDraft(s)drawnonit,ortopayDraft(s)acceptedbutnotpaidbysuchdraweebankatmaturity;iv)iftheCreditprovidesfornegotiation-topaywithoutrecoursetodrawersand/orbonafideholders,Draft(s)drawnbytheBeneficiaryand/ordocument(s)presentedundertheCredit.ACreditshouldnotbeissuedavailablebyDraft(s)ontheApplicant.IftheCreditneverthelesscallsforDraft(s)ontheApplicant,bankswillconsidersuchDraft(s)asanadditionaldocument(s).b.AconfirmationofanirrevocableCreditbyanotherbank(the"ConfirminnBank")upontheauthorisationorrequestoftheIssuingBank,constitutesadefiniteundertakingoftheConfirmingBank,inadditiontothatoftheIssuingBank,providedthatthestipulateddocumentsarepresentedtotheConfirmingBankortoanyotherNominatedBankandthatthetermsandconditionsoftheCreditarecompliedwith:i)iftheCreditprovidesforsightpayment-topayatsight;ii)iftheCreditprovidesfordeferredpayment-topayonthematuritydate(s)determinableinaccordancewiththestipulationsoftheCredit;iii)iftheCreditprovidesforacceptance:(a)bytheConfirmingBank-toacceptDraft(s)drawnbytheBeneficiaryontheConfirmingBankandpaythematmaturity,or(b)byanotherdraweebank-toacceptandpayatmaturityDraft(s)drawnbytheBeneficiaryontheConfirmingBank,intheeventthedraweebankstipulatedintheCreditdoesnotacceptDraft(s)drawnonit,ortopayDraft(s)acceptedbutnotpaidbysuchdraweebankatmaturity;iv)iftheCreditprovidesfornegotiation-tonegotiatewithoutrecoursetodrawersand/orbonafideholders,Draft(s)drawnbytheBeneficiaryand/ordocument(s)presentedundertheCredit.ACreditshouldnotbeissuedavailablebyDraft(s)ontheApplicant.IftheCreditneverthelesscallsforDraft(s)ontheApplicant,bankswillconsidersuchDraft(s)asanadditionaldocument(s).c.i)IfanotherbankisauthorisedorrequestedbytheIssuingBanktoadditsconfirmationtoaCreditbutisnotpreparedtodoso,itmustsoinformtheIssuingBankwithoutdelay.ii)UnlesstheIssuingBankspecifiesotherwiseinitsauthorisationorrequesttoaddconfirmation,theAdvisingBankmayadvisetheCredittotheBeneficiarywithoutaddingitsconfirmation.d.i)ExceptasotherwiseprovidedbyArticle48,anIrrevocableCreditcanneitherbeamendednorcancelledwithouttheagreementoftheIssuingBank,theConfirmingBank,ifany,andtheBeneficiary.ii)TheIssuingBankshallbeirrevocablyboundbyanamendment(s)issuedbyitfromthetimeoftheissuanceofsuchamendment(s).AConfirmingBankmayextenditsconfirmationtoanamendmentandshallbeirrevocablyboundasofthetimeofitsadviceoftheamendment.AConfirmingBankmay,however,choosetoadviseanamendmenttotheBeneficiarywithoutextendingitsconfirmationandifso,mustinformtheIssuingBankandtheBeneficiarywithoutdelay.iii)ThetermsoftheoriginalCredit(oraCreditincorporatingpreviouslyacceptedamendment(s))willremaininforcefortheBeneficiaryuntiltheBeneficiarycommunicateshisacceptanceoftheamendmenttothebankthatadvisedsuchamendment.TheBeneficiaryshouldgivenotificationofacceptanceorrejectionofamendment(s).IftheBeneficiaryfailstogivesuchnotification,thetenderofdocum