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Advance Payment Lc
1. Parties: Identification of all parties involved: Applicant (buyer), Beneficiary (seller), Issuing Bank, and any Advising/Confirming Banks
2. Background: Context of the underlying commercial transaction and purpose of the advance payment LC
3. Definitions: Key terms used throughout the LC document
4. LC Amount and Currency: Specification of the advance payment amount and currency
5. Validity Period: Expiry date and last date for presentation of documents
6. Payment Terms: Conditions for disbursement of the advance payment and subsequent payments
7. Required Documents: List of documents required for LC utilization
8. Bank Charges: Allocation of banking fees and charges
9. Governing Law and Jurisdiction: Specification of Danish law as governing law and jurisdiction details
10. Force Majeure: Provisions for unforeseen circumstances affecting LC execution
11. Notices: Communication procedures and contact details for all parties
1. Counter-Guarantee: Required when additional security is needed from a third-party bank or institution
2. Partial Shipments/Drawings: Include when multiple drawings or shipments are permitted under the LC
3. Transfer Rights: Include when the LC needs to be transferable to another beneficiary
4. Insurance Requirements: Specific insurance requirements beyond standard coverage
5. Dispute Resolution: Alternative dispute resolution mechanisms if preferred over standard court proceedings
6. Anti-Money Laundering Compliance: Specific AML requirements beyond standard provisions
7. Sanctions Compliance: Additional provisions for transactions involving sensitive jurisdictions or parties
1. Commercial Invoice Template: Approved format for commercial invoices
2. Transport Documents: Required format and content of transport documentation
3. Bank Guarantee Format: Template for any required counter-guarantee or security
4. Payment Schedule: Detailed breakdown of payment stages and corresponding document requirements
5. Specimen Signatures: Authorized signatures for all relevant parties
6. UCP 600 Incorporation: Specific UCP 600 articles applicable to this LC
7. Document Checking Guidelines: Specific requirements for document verification and acceptance
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