Mercantile Credit Inc.
50 W. 34th St., Suite 9A10
New York, NY 10001
Tel: 212-643-3254, Fax: 212-643-3257
Email:
[email protected]
APPLICATION AND AGREEMENT FOR OPENING OF
IRREVOCABLE DOUMENTARY CREDIT.
APPLICANT'S FULL NAME
APPLICANT'S ADDRESS
ADVISING BANK
BENEFICARY'S NAME
BENEFICARY'S ADDRESS
NAME OF CONTACT PERSON
OFFICE PHONE NO.
MOBILE PHONE NO.
EMAIL
AMOUNT
FOB
CFR
CIF
By AIR
SEA
PARTIAL SHIPMENT
ALLOWED
NOT ALLOWED
TRANS SHIPMENT
ALLOWED
NOT ALLOWED
SHIPMENT /
DESPATCH /
TAKING IN CHARGE FROM /AT
FOR TRANSPORTATION TO
NOT LATER THAN
AGAINST PRESENTATION OF THE DOCUMENTS DETAILED HEREIN
AND MARKED [X]
AND OF YOUR DRAFT (S) AT SIGHT
SIGNED COMMERCIAL INVOICE IN
COPY (ies).
FULL SET OF 'CLEAN SHIPPED ON BOARD' MARINE BILLS OF LADING, MARKED
'FREIGHT PREPAID' /
'FREIGH TO COLLECT’ AND 'NOTIFY BUYER (S)’.
COMBINED TRANSPORT DOCUMENTS (SPECIFY DETAILS)
AIRWAYBILL MARKED
'FREIGHT PREPAID' /
'FREIGHT PAYABLE AT DESTINATION' AND' NOTIFY BUYER (S):
INSURANCE POLICY OR CERTIFICATE ISSUED IN NEGOTIABLE FORM FOR FULL CIF VALUE PLUS 10% SHOWING CLAIMPAYABLE AT
TO THE ORDER OF
BANK WITH EXTENDED C OR TO FINAL WAREHOUSES
IN
AS PER INSTITUTE CARGO CLAUSES.
ALL RISKS (MARINE) / AIRFREIGHT / LAND RISKS IRRESPECTIVE OF PERCENTAGE.
W.A. (EXTENDED FULL COVER)
WAR,STRIKES, RIOTS AND CIVIL COMMOTION (SRCC)
F.P.A.INCLUDING THEFT AND / OR
NON-DELIVERY OF AN ENTIRE PACKAGE, BUNDLE, BAG OR PIECE.
INSURANCE COVERED BY US AND SHIPMENT ADVICE QUOTING THE L/C NO.AND REFERRING TO POLICY NO
TO BE SENT BY REGISTERED
MAIL IMMEDIATELY AFTER SHIPMENT TO
AND A COPY OF THIS ADVICE TO ACCOMPANY THE DOCUMENTS.
CERTIFICATE OF ORIGIN STATING THAT THESE GOODS ARE OF
ORIGIN, SEPARATELY ISSUED IN
COPIESBY
.
PACKING LIST IN
COPY(IES) DULYSIGNED BY BENEFICIARY.
SHIPPING MARKS
SPECIAL CONDITIONS (IF ANY) {AS PER ANNEXURE - 1, SPECIAL TERMS & CONDITIONS}
COVERING FOLLOWING GOODS:
DOCUMENTS TO BE PRESENTED WITH IN
DAYS AFTER THE DATE OF ISSUANCE OF THE SHIPPING DOCUMENT (S) BUT WITHIN THE
VALIDITY OF THE CREDIT.
ALL BANK CHARGES RECORDING FEE AND COMMISSION ABOARD ARE TO BE BORNE BY BENEFICIARY / ME/ US.
OTHER TERMS & CONDITIONS
1. I / we hereby unconditionally and irrevocably undertake to pay value of the draft(s) drawn under thiss credit and presented to us for payment together with commission, interest, charges, etc.
2. It is clearly understood and agreed by me / us that neither you nor your agents shall be in any way responsible for the description, quality, quantity, value or delivery of any goods nor the
correctness, genuineness, regularity, or validity of any draft or documents under credit nor the general or particular conditions stipulated In any document nor the delay or deviation from instructions in regards to shipment as per existing UCP articles.
3. It is understood and agreed that all instructions and correspondence relating to this credit are to be sent at my/ourrisk and that you do not assume any responsibility for any inaccuracy, interruption, error or delay in transmission by telegraph or cable ortelex or delivery by post.
4. 1/ we undertake to keep the bank covered against fire and other risks after the expiry of the insurance under this credit and in case of loss the amount due under all such policies shall be paid over to you and you are hereby authorized to collect such amount due under such insurance.
5. Undersigned the applicant is fully aware that neither LC issuing Bank nor Mercantile Credit Inc., bears no responsibility for the terms of the credit and shall not be part to any dispute or refund of commissions or any other financial damage should the advising /negotiating bank refuses to grant credit against the same.
WE WILL REMIT /WITH MARGIN AND ALL YOUR CHARGES. WE AGREE AND ACCEPT THAT L/C OPENING CHARGES ARE NON-REFUNDABLE AND NO CLAIM WILL BE MADE THEREOF.
SIGNATURES
PRINT NAME:
DATE:________________
COMPANY SEAL
ADDITIONAL CONDITIONS & DOCUMENTS REQUIRED UNDER L/C
(1) [X] ADVISING BANK AND ITS ADDRESS:
(2) [X] AN AUTHENTICATED SWIFT MESSAGE SENT BY THE OPENING BANK TO THE ADVISING BANK, STATING THAT AN AUTHORIZED REPRESENTATIVE OF THE APPLICANT HAS ISSUED AN ORIGINAL SHIPPING CERTIFICATE ON THEIR LETTERHEAD AND SIGNED BY AN AUTHORIZED OFFICER
(3) [X] SIGNED COMMERCIAL INVOICES ISSUED BY THE BENEFICIARY, ONE ORIGNAL AND FIVE COPIES.
(4) [X] CERTIFICATE OF WEIGHTS AND MEASURES IN ONE ORIGNAL AND TWO COPIES SHOWING GROSS WEIGHT, NET WEIGHT, NET WEIGHT AND CARTON DIMENSIONS.
(5) [X] DETAILED PACKING LIST SHOWING CASE PACK ASSORTMENT BY COLOR AND SIZE FOR EACH CARTON RANGE IN ONE ORIGNAL AND FIVE COPIES.
(6) [X] ALL CHARGES ARE FOR THE NOTIFY PARTY'S ACCOUNT.
(7) [X] MULTIPLE OR SINGLE COUNTRY OF ORIGIN DECLARATION REQUIRED IN ONE ORIGNAL AND TWO COPIES.
WITH RESPECT TO SEA AND OR AIR SHIPMENT:
(8) [X] FULL SET OF CLEAN 3/3 "SHIPPED ON BOARD" OCEAN BILLS OF LADING AND OR AIRWAY BILL MUST BE MADE OUT TO ORDER OF THE L/C ISSUING BANK.
ALL ACCOMPANYING PAPERS MUST MENTION L/C ISSUING BANK'S L/C NUMBER
AND MARKED NOTIFY THE APPLICANT. [PLEASE ADD YOUR ADDRESS BELOW]
(9) [X] ALL DOCUMENTS EXCEPT DRAFTS AND BILLS OF LADING AND OR AIRWAY BILLS TO BE MADE OUT IN THE NAME OF THE APPLICANT: [PLEASE ADD YOUR ADDRESS BELOW]
(10) [X] ONE SET OF COPY DOCUMENTS INCLUDING A NON-NEGOTIABLE OCEAN BILL OF LADING AND ORIGNAL INVOICE, AND A CUSTOMS INVOICE WITH ORIGNAL VISA STAMP AND COUNTRY OF ORIGIN CERTIFICATE HAS BEEN SENT BY COURIER TO THE APPLICANT [PLEASE ADD YOUR ADDRESS BELOW]
(11) [] L/C IS TRANSFERABLE TO A THIRD PARTY IN
(12) [] THIRD PARTY DOCUMENTS ACCEPTABLE.
(13) [ ] LETTER OF CREDIT IS NEGOTIABLE AT THE L/C ISSUING BANK'S COUNTERS.
(14) [] INSPECTION CERTIFICATE SIGNED AND ISSUED BY AN AUTHORIZED OFFICER ON THE LETTERHEAD OF THE NOTIFY PARTY
(15) [X] ALL ORIGINAL DOCUMENTS MUST MENTION L/C ISSUING BANK'S L/C NUMBER.
(16) [X] DOCUMENTS UNDER AIR AND SEA SHIPMENT MUST NOT BE COMBINED IN ONE COVERING LETTER.
(17) [X] L/C ISSUING BANK WILL ISSUE RELEASE ORDERS IN RESPECT OF ALL OR PART OF THE CARGO UNDER EACH SHIPMENT AS INSTRUCTED BY THE APPLICANT. THE L/C ISSUING BANK WILL NOT BE HELD RESPONSIBLE UNDER ANY CIRCUMSTANCES FOR THE ISSUANCE OF SUCH RELEASE ORDERS AND WILL NOT BE OBLIGED TO MAKE PAYMENT UNDER EACH PRESENTATION UNLESS COMPLIANT DOCUMENTS ARE RECEIVED.
By:___________________________________
Name:
Title of Authorized Signatory:
TO:
Mercantile Credit Inc
50 W 34th St.
NEW YORK, NY 10001
Date: ____________
Dear Sirs:
Enclosed please find an Application for the issuance of a Letter of Credit
In order to induce you to issue the Letter of Credit, we agree that after you have approved the Letter of Credit, you shall have no obligation whatsoever to authorize any additional drawings. If and when you receive a request from the beneficiary of the Letter of Credit for any additional drawings, you shall have the right, in your sole discretion and without obligation to us, to refuse such request.
We acknowledge that the type of Letter of Credit that we have asked you to arrange for issuance shall contain a "Special Clause" (Additional document required condition number 2 (two) on your LC Application page 2 (two)). We also agree that you are arranging for the issuance of such Letter of Credit solely as an accommodation to us. We agree that you shall have no obligation whatsoever to authorize any amendments concerning this "Special-Clause" Letter of Credit. If and when you receive a request from us for any amendments, you shall have the right, in your sole discretion and without obligation to us, to refuse such. We further agree to indemnify and hold you harmless against any losses, damages or expenses you or any issuing bank may sustain, including attorneys' fees, in connection with the above-mentioned Letter of Credit.
Very truly yours,
By: ____________________________________
Name:
Title of Authorized Signatory:
(Authorized Officer Signature Only).