SAFE PRACTISE

We have a customer (call him MLP Ltd) who has been buying for many years from us against L/C. Their L/Cs always ask that B/L should be marked "To order of MLP Ltd" (unlike most other L/Cs we recieve which asks for B/L marked to the order of the issuing bank).

In the present economic turmoil we want to be extra cautious. Does insisting that L/C should ask for B/L issued to order of issuing bank make any difference?

Under UCP laws are we not already completely protected if L/C   asks for B/L issued"To order of buyer"

Safe Practice

You are going on right path. Ask your client for BL to be issued to order of Issuing Bank. You will be more safe.

Imran Umer

IamImranUmer@gmail.com

Healthy practice to mention to order of issuing bank

It is the healthy practice to mention to order of issuing bank in the consignee coloumn. If the payment is in advance then you can mention consignee and notify the same.  These practices will benefit you more.

Contact: tulsiusha1@yahoo.com  or tulsipillaiex@hotmail.com

Regards   Tulsi  / Dubai