 UCP 600, ICC’s new rules on documentary credits, were approved by the ICC Banking Commission on 25 October, 2006. UCP 600, which will come into effect on 1 July 2007, contains significant changes you will need to know, including:
- A reduction in the number of articles from 49 to 39;
- New articles on "Definitions" and "Interpretations" to provide more clarity and precision in the rules;
- The replacement of the phrase "reasonable time" for acceptance or refusal of documents by a firm period of five banking days;
- New provisions which allow for the discounting of deferred payment credits;
- A definitive description of negotiation as “purchase” of drafts of documents.
The new UCP 600 also contains within the text the 12 Articles of the eUCP, ICC’s supplement to the UCP governing presentation of documents in electronic or part-electronic form. |
