The fraud exception in letters of credit – the Chinese approach
| Autor: | Yeming Ding, Bruno Zeller |
|---|---|
| Jazyk: | Arabic<br />English<br />French |
| Rok vydání: | 2017 |
| Předmět: | |
| Zdroj: | International Review of Law, Vol 2017, Iss 3 (2017) |
| Druh dokumentu: | article |
| ISSN: | 2710-2505 2223-859X |
| Popis: | In 2005, the Supreme People’s Court (SPC) introduced new provisions relating to letter of credit (L/C) transactions in the People’s Republic of China (PRC). This paper will examine the effectiveness of the new provisions concerning the L/C fraud exception rules. The issue is whether the Chinese view of the fraud exception, which was introduced by the Uniform Customs and Practice Model Law for Documentary Credits (UCP), is effective and in line with accepted international views. To that end, this paper will explain the provisions and then employ a comparative approach. It will briefly compare Chinese fraud regulation with English and U.S. jurisprudence and measure effectiveness by noting the prevailing English and U.S. views. This analysis is timely because China is gaining momentum in its economic development; hence, the attitude of Chinese courts concerning the issue of trade financing with L/Cs is important. The conclusion is that, in general, Chinese regulations are in line with international jurisprudence, and therefore, the reforms are working overall. However, some gaps or questions give rise to uncertainty. This paper suggests that the gaps need to be resolved either by courts or through further regulation by the Supreme People’s Court. |
| Databáze: | Directory of Open Access Journals |
| Externí odkaz: |
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