The first month of the year is in full swing, and the trade finance world isn’t slowing down.
Standby LCs are in the spotlight, with industry veterans weighing in on their evolving role. Courtrooms are busy too—one high-stakes LC dispute just put fundamental banking principles to the test. Meanwhile, regulatory shifts, institutional shake-ups, and a staggering USD 327 billion in U.S. LC issuance keep the landscape moving. From fresh ICC guidance to a deep dive into trader defaults, we’ve got the insights you need to stay ahead.
Low default rates, increased flexibility, technological advancements and evolving regulations make standby letters of credit (SBLCs) an appealing option in international trade.
A dispute involving an ISP98 standby and litigation in two jurisdictions raises a host of considerations. Here, Carter Klein comments on five facets of the Shinetec (Australia) Pty Ltd. v. The Gosford Pty Ltd Australian appellate court decision.
In the third installment of his DCW article series on major issues surrounding potential revision of UCP, ICC Banking Commission Senior Technical Advisor Dave Meynell confronts continuing misplaced reliance on strict compliance.
How are LC specialists to understand UCP600 Article 38(k) in situations where a second beneficiary bypasses the transferring bank and presents documents directly to the issuing bank? Scenarios, fundamental issues, and a proposal for revising this UCP sub-article are addressed here.
In the first of a two-part article, Robert Parson looks back at major LC court cases of 2024 and their impact on an increasingly complex environment for trade finance.
See how FIs measure up in the U.S. LC market with DCW’s 3Q24 LC Issuance Report, which ranks the top 600 U.S. banks by their issuance of standby and commercial LCs.
With over USD 327 billion in total LC issuance for 3Q24, this data provides key insights into the competitive landscape of trade finance. Explore the rankings now to see where the industry’s biggest players stand—and where your bank fits in.
In a high-stakes dispute over a $35 million standby letter of credit, a U.S. court denied an ex parte motion for a temporary restraining order (TRO) sought by a major U.S. importer. The case—Consolidated Electrical Distributors, Inc. v. United Renewable Energy Co.—highlights key legal principles surrounding LC independence, material fraud, and irreparable harm.
Chris Sandler is the COO of the Institute of International Banking Law & Practice, the organization which produces DCW. Reach Chris at sandler@iiblp.org
Low default rates, increased flexibility, technological advancements and evolving regulations make standby letters of credit (SBLCs) an appealing option in international trade
In the second instalment of his DCW article series on major issues surrounding potential revision of UCP, ICC Banking Commission Senior Technical Advisor Dave Meynell considers the problems contributing to chronically high discrepancy rates and offers viable solutions.
