CDCS MENTOR

…....for Professionals

CDCS exam 2015

(October Intake)
preparation Program

A
Md. Mohiuddin, cdcs
PRESENTATION

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CDCS MENTOR, Md. Mohiuddin; Cell: 01716308384; e-mail: cdcs.mentor.bd@gmail.com
 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

Where applicable, words in the singular include the

plural and in the plural include the singular.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

A credit is irrevocable even if there is no

indication to that effect.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 Credits under UCP600 are automatically
irrevocable.

There is no requirement for mentioning irrevocable

nature of a credit.

All credits issued under UCP600 are irrevocable unless

otherwise specified.

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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

A document may be signed by handwriting, facsimile

signature, perforated signature, stamp, symbol or any
other mechanical or electronic method of
authentication.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 Manners of signing documents

A document may be signed by:

1. Handwritten
2. facsimile
3. perforated
4. Stamp
5. Symbol
6. any mechanical method of authentication
7. any electronic method of authentication.

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Manners of signing documents: Facsimile Signature
Facsimile Signature = Scanned signature

*Commonly seen in insurance documents.

*Scanned signatures are of facsimile nature.

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 Manners of signing documents:
Mechanical or Electronic method of authentication

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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

A requirement for a document to be legalized, visaed,

certified or similar will be satisfied by any signature,
mark, stamp or label on the document which appears
to satisfy that requirement.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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Find out the
label,
mark
&
stamp

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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

Branches of a bank in different countries are

considered to be separate banks.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 01. Branches of a bank in different countries
considered as a separate bank.

02. Branches of a bank within a country

considered as a same bank.

Case :
A credit issued by
Sonali Bank, Local Office, Dhaka, Bangladesh can not be confirmed by
any of its branches in Bangladesh but Sonali
Bank, UK may confirm the credit.

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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

Terms such as "first class", "well known", "qualified",

"independent", "official", "competent" or "local" used
to describe the issuer of a document allow any issuer
except the beneficiary to issue that document.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 "first class", "well known", "qualified", "independent", "official",
"competent" or "local" = any issuer except the beneficiary.
Certificate of country
of Origin
MT 700
Documents required (F46A):
+Country of Origin issued by a competent We certify that the
authority of exporting country. country of origin of the
shipped goods under DC
no. 123 is of China Origin.

Complying
(UCP600 Article 03)
For, The general
institution
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 ICC Banking Commission Opinion
R626 [TA652rev]
Query:
Query: A L/C calls for a certificate of origin from a local chamber of
commerce. The product is of foreign origin. Does ‘local chamber of
commerce’ mean local where the beneficiary is domiciled or local
where the product originates?

Opinion:
Opinion: The answer to this question lies in the content of
an interpretation provided in article 03 of 600. Therein it is
stated ‘Terms such as "first class", "well known", "qualified",
"independent", "official", "competent" or "local“ used to
describe the issuer of a document allow any issuer except
the beneficiary to issue that document’. Applying this
interpretation, any chamber of commerce may issue the
certificate of origin.
origin

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UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

Unless required to be used in a document, words

such as "prompt", "immediately" or "as soon as
possible“ will be disregarded.

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Disregarded words:
1. Prompt
2. Immediately
3. As soon as possible &
4. Such as (ASAP, Instantly, Quickly, Immediate, Rapidly, Early
and so forth…….)

Provided these words aren’t

required to use in a document .

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UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

The expression "on or about" or similar will be

interpreted as a stipulation that an event is to occur
during a period of five calendar days before until
five calendar days after the specified date, both start
and end dates included.

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‘On or about’ when used with a specific date to indicate a period
of time indicates a period of total eleven (11) days.

‘On or about’ =05 days before + Specified date + 05 days after

About On About

Example: A credit indicates shipment is to be made on or about

15-Sep-2014. The valid shipment period under the credit is
10-Sep-2014 to 20-Sep- 2014.

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UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

The words "to", "until", "till", "from" and "between"

when used to determine a period of shipment include
the date or dates mentioned, and the words "before"
and "after" exclude the date mentioned.

The words "from" and "after" when used to determine

a maturity date exclude the date mentioned.

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 Determination of shipment Period:
includes the date
Example: ‘Shipment to be made from 20-
Sep-2012 till 30-Sep-2012’. Here, Earliest
date of shipment is 20-Sep- 2012.
FROM Calculation of Maturity date:
excludes the date
Determination of shipment
Period: excludes the date
AFTER
Example: ‘Shipment to be made after 20-
Sep-2012 till 30-Sep-2012’. Here, Earliest
date of shipment is 21-Sep-2012.
Calculation of Maturity date:
excludes the date
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‘Before’ or ‘After’ always exclude
the date mentioned.

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‘Before’ or ‘After’ always exclude
the date mentioned.
MT700 MT700
+Maturity date +Maturity date
to be to be
calculated at calculated at
30 days from 30 days after
the date of the date of
shipment shipment

Maturity date
Shipment date

01-Jan-2015 31-Jan-2015
(01 Jan ‘15 + 30 days)

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 UCP 600 - Article 3: Interpretations CDCS MENTOR
…....for Professionals
For the purpose of these rules:
rules

The terms "first half" and "second half" of a month shall

be construed respectively as the 1st to the 15th and the
16th to the last day of the month, all dates inclusive.

The terms "beginning", "middle" and "end" of a month

shall be construed respectively as the 1st to the 10th,
the 11th to the 20th and the 21st to the last day of the
month, all dates inclusive.

CDCS MENTOR, Md. Mohiuddin;

Mohiuddin; Cell: 01716308384; e-
e-mail: cdcs.mentor.bd@gmail.com
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 “First half" of a month: the 1st to the 15th day.

“Second half" of a month: the 16th to the last day of the month.

“Beginning" of a month: the 1st to the 10th day.

“Middle " of a month: the 11th to the 20th day.

“End" of a month: the 21st to the last day.

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Query:
Query: Regarding UCP600 article 3 and issues of “On or about”.
If the credit says only “about”, how we interpret and understand
it?

Suggested answer:
answer: Ideally, the word “about” should not be used
in attempting to define a timeline for something to occur. If used,
it would be considered to have the same interpretation as if the
words “on or about” had been used.

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Query:
Query: A credit required an inspection certificate to be presented.
Accordingly an inspection certificate has been presented and the
issuer is the beneficiary. Is this certificate is acceptable?

Suggested answer:
answer: If the credit is silent with regard to the issuer,
then the inspection certificate may be issued by any party
including the beneficiary. The beneficiary is not able to issue the
document if the credit describes the issuer in a manner as shown
in article 3 of UCP600 i.e. as being “first class”, “well Known”,
“Independent”, “Qualified “, “Independent”, “official”,
“Competent” or “Local”.

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