Letters of Credit

摘要

This survey concentrates on the most significant letter of credit ("LC") issues addressed in cases decided in the United States in the year 2017. Pre-honor cases are those in which a dispute arises before a demand for payment under an LC has been honored. These actions typically involve a beneficiary or other presenter claiming wrongful dishonor by the issuer, and they focus on: (ⅰ) whether the issuer gave timely and sufficient notice of dishonor, (ⅱ) whether the discrepancies stated in that notice justify dishonor, or (ⅲ) whether there are extraordinary reasons requiring or permitting dishonor, such as forgery or material fraud, injunction, governmental order, or insolvency.