BTX3110 Study Guide - Final Guide: Midland Bank, Negotiable Instrument, The Seller

• School: Monash Caulfield
• Department: Business Law and Taxation
• Course: BTX3110
• Professor: Mr Mathew Thomas

Document Summary

Appli(cid:272)a(cid:374)t/bu(cid:455)er: part(cid:455) (cid:449)ho applies to (cid:858)ope(cid:374)(cid:859) a l/c. Ad(cid:448)isi(cid:374)g ba(cid:374)k: eller(cid:859)s (cid:271)a(cid:374)k advise seller that credit is open. Nominated bank: nominated by one of the parties (seller) to be an advising/confirming bank. Characteristics of bill of exchange: addressed to and (cid:858)a(cid:272)(cid:272)epted(cid:859) (cid:271)(cid:455) drawee/acceptor. Buyer: negotiable instrument can be bought, sold or transferred, once drawee accepts obliged to pay. Within time specified amount specified: application of. Article 2 appl(cid:455) to a(cid:374)(cid:455) do(cid:272)u(cid:373)e(cid:374)tar(cid:455) (cid:272)redit (cid:894)(cid:862)(cid:272)redit(cid:863)(cid:895) When the text of the credit (l/c) expressly stated subject to these rules unless expressly modified or excluded by the credit. Credit: checking the documents for a complying presentation. Article 6: availability, expiry date and place for presentation. Art 6(b): state sight payment, deferred payment, acceptance or negotiation. Art 6(d)(i): all l/c must state expiry date for presentation. Check that the presentation is made within the time prescriptions of the l/c. Art 14(a): ba(cid:374)k o(cid:374)l(cid:455) has to (cid:272)he(cid:272)k do(cid:272)u(cid:373)e(cid:374)ts for (cid:858)out(cid:449)ard (cid:272)o(cid:373)plia(cid:374)(cid:272)e(cid:859)