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Certified Documentary Credit Specialist

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| CDCS* UCP 600 Practice Exercises 1 | WARNING! Disclaimer * CDCS means "Certified Documentary Credit Specialist", a certification from ICC Paris, administered by IFSA for the USA, Canada, and Mexico, whilst for the rest of the world by IFS School of Finance. * CDCS is a registered trade mark of ifs School of Finance registered with the EU Community Trade Mark office under number 000858704. The Bad News A. We declare our copyright for the following CDCS Exam Exercises and Model Answers (the Exercises). Please understand that you may face serious legal consequences for unauthorised use of our exercises. B. Some of our Exercises are tricky ones and you have to read them carefully and think twice before you finish your …show more content…

Should the issuing bank follow the instructions from the applicant? 7. Is this refusal notice acceptable for a DC subject to UCP 600? "We refuse to pay you due to the following three discrepancies: 7. The commercial invoice does not meet the terms and conditions of the DC. 8. Third party B/L presented. 9. Unclean B/L presented. Meanwhile we are holding the documents at your disposal and risk." 8. A DC subject to UCP 500 issued by Bank I was confirmed by Bank C expiring on 1 September 2002. There was no restriction on the presentation. The beneficiary presented the documents to Bank I on 29 August 2002. Is this the best practice? What are the risks? If the DC were subject to UCP 600, would your answer be the same? 9. A presenting bank had the following messages in its covering letter/schedule dated 24 July 2007 presented against a DC subject to UCP 600. "We have found the following discrepancies in the documents: 10. The port of discharge in the B/L is not the same as that stated in the DC. 11. Presentation after expiry. 12. Corrections in the certificate of origin are not authenticated by the issuer. The documents are now presented for collection. Please approach the applicant for a waiver and give us your authority to negotiate by SWIFT message." The issuing bank sent its refusal notice as follows: "After consulting the applicant, we determine to refuse the documents due to the

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