Significant Changes in UCPDC-600
Significant Changes in UCPDC-600
Compared with Publication no. 500
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#Article :1 :It has been expressly indicated that UCP600 contains rules.
# :2 :All the parties including Banks and Clients have been categorically defined. Also different terminologies have been clarified.
# :3: :All the interpretations of UCP 500 have been compiled in a single Article
of UCP 600.
Besides this article indicates credit is always “irrevocable”
# :4 :No change except inclusion of a sub article of UCP 500 i.e., credit instrument should not include copies of contract/proforma as integral part.
# :5 :No change with the relevant circular of publication No. 500
# :6 :This article represents combination of articles………..of UCP 500.
# :7:This article represents liability and responsibility of LC issuing bank. It
also emphasizes on liability in the event nominated bank fails or refuses to perform their responsibility in any situation.
# :8 : Negotiation, without recourse.
# :9 :Advice should accurately reflect terms and conditions of the Credit or amendment received.
# :10: If the beneficiary fails to give such notification a presentation that complies with the credit and to not yet accepted amendment will be deemed to be notification by the beneficiary of such amendment.
# :11 :A pre-advice constitutes an irrevocable undertaking to issue details of LC.
# :12 : Nomination of a bank authorizes to purchase/negotiate documents..
# :13 : The credit must state if the reimbursement is subject to ICC rules for bank to bank reimbursement.
# :14 : Standard of Examination of Documents : complying presentation 5 (five)
banking days following the day of presentation.
# :15 : Complying presentation – issuing bank/confirming bank must honour
complying presentation. Nominated bank if negotiates docs it must forward the same to the confirming bank/issuing bank
# :16 : Discrepant Documents :
Beneficiary – nominated bank.
# :17 : Original Documents.
# :18 : Commercial invoice.
# :19 : Requirement of mentioning capacity of the Agent is omitted. Carrier’s
right to effect transshipment is to be disregarded.
# :20 : Same
# :21 : Non-negotiable Sea way bill (Ref :Publication of ICC titled “UCPDC400-500 compared” of page – 72)
- It is widely used in European, Scandinavian, North America and certain Far Eastern trade areas.
- To avoid delay in handling the goods once they arrived at the port of discharge.
- It is not considered as a traditional negotiable bill of lading or a documents of title.
# :22 : Charter Party
- Master owner & Charterer
- Name of the carrier is not necessary.
* Charterer may issue and sign Bill of Lading
** “If a credit calls for ————-“ omitted.
# :23 : The information appearing in the box on the air transport document
(marked “for carrier uses only or similar expression) relative to the flight
number and date will not be considered a specific notations of such
date of dispatch” omitted.
# :24 : Language restructured keeping most of the text same as was in UCP 500
Other changes : Additions
“ if rail transport document does not identify the carrier, any signature or standing of the railway company will be accepted ———- signed by the carrier.
- A road transport doc must appear to be the original.
- A rail transport doc marked duplicate will be accepted as sign.
- A rail or water way transport doc will be accepted as —- whether marked as original or not”
# :25 : * If a credit calls for ——— — omitted
* In all other respects meets the stipulation of the credit ———- omitted. * Word stipulates substituted by “states”
* Language of other texts are structured.
# :26 : Unless otherwise stipulated ———— omitted.
# :35 : Disclaim on Transmission and Translation.
Even Documents are lost in transit, Issuing bank / Confirming bank
bound to reimburse.
# :38 : Transfer:
* Nominated or specially authorized incase credit is available with any
* Presentation must be made to the transferring bank.
*It has not been made clear whether transferring will hold the responsibility of the payment against transferred LC.
Comment of Gary Collyer– Technical Advisor to the ICC Commission:
“The eUCP allows for presentation electronically or for a mixture of paper documents and electronic presentation”.
Scope of eUCP:
Presentation of paper documents and electronic records.
eUCP & UCP:
Definition:
Appear on their face : Examination : Data content of an electronic record
Document :Electronic record.
Sign : Electronic signature.
Electronic signature : Authentication of electronic record.
Presentation: # Electronic record may be presented separately and need not be presented at a time.
# Notice of completeness to be given
Examination: # Hyperlink
# Forwarding of records by the nominated bank signifies that it has satisfied itself as to the apparent authenticity of the electronic records
# Inability of the issuing bank/ confirming bank to examine records shall not be basis of refusal
Transport: :Issuance date.
Hyperlink
Significant Changes in UCPDC-600
Compared with Publication no. 500
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#Article:1 :The word “Rule” has been incorporated.: Application.
# :2 :Definitions: Different terminologies/ parties involved in DC have
been defined
# :3: :Interpretations: A good number of articles in publication no.500 have
been set under this article.
Besides this article indicates credit is always “irrevocable”
# :4 :No significant changes with relevant article of 500- Credit vs Contract.
Enclosing of Proforma invoice/Indent/Contract with the credit instrument has been discouraged, which also prevails in 500.
# :5 :No change. Document vs Goods/services/performance.
# :6 :It relates to types of credit of article 10 of UCP-500.
Requirement of expiry date and place of presentation in the credit has been set.- Availability.
# :7 :Issuing bank undertaking:
Text of the article is almost same with respect to UCP-500.
Undertaking to the beneficiary is independent of undertaking the
reimbursing bank.
# :8 :Almost same. – Confirming bank undertaking.
Exception: Negotiation, without recourse.
In UCPDC 500 liabilities & responsibilities of issuing & confirming bank were expressed jointly.
# :9 : Advising of Credit & Amendment:
Advice should accurately reflect terms and conditions of the Credit.
# :10 : Confusion arises about the meaning of the sentence “If the beneficiary
fails ………………………. of such amendment.”
Article
# :11 : No change. (Teletransmission)
# :12 : Nomination: Nomination does not impose obligation.
# :13 : BTB reimbursement.
# :14 : Standard for Examination of Documents : 5 (five) banking days.
# :15 : Presentation is complying – it must honour.
# :16 : Discrepant Documents :
Beneficiary – nominated bank.
# :17 : Original Documents.
# :18 : Commercial invoice.
# :19-20 : Transport Documents.
# :35 : Disclaim on Transmission and Translation.
Even Documents are lost in transit, Issuing bank / Confirming bank
bound to reimburse.
# :38 : Transfer:
*Nominated or specially authorized incase credit is available with any
*Presentation must be made to the transferring bank.
What is UCPDC 600?
Short Question UCPDC 600
Significant Changes in UCPDC-600
ISBP 600
ISBP
