Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance
In the law regarding letters of credit, the issuing bank is only expected to determine whether the documents, on their face, do not contain any discrepancy that would suggest that the documents are invalid or do not conform with the terms of the letter of credit. Where the issuing bank concludes that there is some non-conformity with the terms of the letter of credit, the issuing bank has a right to reject the documents. Although it is generally agreed that minor discrepancies in the documents lack the degree of materiality sufficient to permit a bank to reject documents for lack of conformity with the terms of a letter of credit, there are currently no guidelines for the verification of documentary compliance. The outcome is a state uncertainty in the law regarding letters of credit. The paper undertakes a comparative examination of the jurisprudence on the doctrine of strict compliance and attempts to craft guidelines for verifying documentary compliance.
Full Text
Read the full text in your device's PDF viewer.
OPEN PDFHow to Cite
- Apa: Edmund Ato Kwaw (2021). Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance. E-Journal of Law, 7(1)
- Mla: Edmund Ato Kwaw "Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance." E-Journal of Law, vol. 7, no. 1, 2021.
- Chicago: Edmund Ato Kwaw "Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance." E-Journal of Law 7, no. 1 (2021).
- Vancouver: Edmund Ato Kwaw Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance. E-Journal of Law. 2021;7(1).
- Ieee: Edmund Ato Kwaw "Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance," E-Journal of Law, vol. 7, no. 1, 2021.
- Harvard: Edmund Ato Kwaw 2021, 'Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance', E-Journal of Law, vol. 7, no. 1.
- Ama: Edmund Ato Kwaw Strict or Substantial Compliance in Letters of Credit: Crafting Guidelines for Verifying Documentary Compliance. E-Journal of Law. 2021;7(1).