Backdating documents under english law any truly dating sites
It therefore leaves open the position of the beneficiary in case of a fraudulent b/l in which the beneficiary had no part.
This, however, may fall under subsection IV, but this remains I think to be seen.
It would in my opinion jeopardize the function of a b/l, particularly its document of title function.
Just as the Dutch Supreme Court ruled, a third party b/l holder must be able to trust the correctness and be protected if it is not.
The questions I just raised (distinguishing severity/types of fraud, protection of the beneficiary) are difficulty to answer though, as these are not be found in any international regulations.
Maritime conventions, conventions on international trade such as the Vienna Convention, but even the UCP 500 (Uniform Customs and Practice for Documentary Credits) are silent on what is considered b/l fraud and what the consequences are for the position of the innocent beneficiary under the LC.
Anyhow, this aspect apparently did not play a role and the bank was ordered to pay out under the letter of credit to the beneficiary who had no knowledge of this fraud.
The fraud therefore had no consequence for the position of the beneficiary under the LC. What in case a master had put remarks into his mates receipt as to the condition of the cargo but nevertheless issued a clean b/l in exchange for a Letter of Indemnity (LOI) given by the charterer?
Or a person presents a false b/l (better: a fictitious b/l or non-document) to the sea carrier.There exists case law in the US, saying for establishing fraud, there should be amaterial false representation.An example once given by a well-known speaker during a seminar on LC law, was a b/l stating to have on board 100 bicycles, whereas the seller/shipper knew the ship carried 99 bicycles.Under English law, such fraude proof b/ls seem to have been accepted by the courts, in which the English House of Lords held that the deliberately wrong dating of a b/l by the loading broker of the carrier is no reason to release the issuing bank from paying out under the letter of credit.Backdating of a b/l may seem very harmless, yet in trade a difference of one day can make a big difference as prices may go up and down heavily on a daily basis.