scholarly journals Documentary Letters of Credit, Legal Nature and Sources of Law

2016 ◽  
Vol 17 (31) ◽  
pp. 106-121 ◽  
Author(s):  
Hamed Alavi
Keyword(s):  
International Trade ◽  
Global Market ◽  
International Operation ◽  
Transportation Risk ◽  
Legal Questions ◽  
Legal Nature ◽  
Letters Of Credit ◽  
Economic Developments ◽  
Legal Frameworks ◽  
National Economies

AbstractThere is no doubt about risky nature of international trade. Such risk can be conceptualized as country risk, transportation risk, customer risk and etc. Documentary Letters of Credit (LC) are used as a method of payment in international business for many centuries in order to reduce risk of trade specially when parties are located in different countries and do not have precise information from financial standing of each other. In such occasion LC will reduce the risk of trade by shifting payment obligation from buyer as an individual to a payment guarantee of a bank as a legal entity in return for presentation of complying documents with terms of credit by seller. Familiarity with legal nature and different legal frameworks which govern the international operation of documentary letters of credit can facilitate the process of international trade for businessmen and boost national economies. However, lack of knowledge about them can impose huge losses on international traders. Situation will be more complicated when we understand that there are many internationally recognized legal frameworks which can affect the operation of LC and they get frequently updated in order to address technological and economic developments in global market. In this paper, author tries to answer questions regarding (i) what are international legal frameworks governing operation of documentary letters of credit? (ii) which areas of LC operation has been covered by them and (iii) how do they address the legal questions regarding international operation of documentary letters of credit?

scholarly journals Remedies to Fraud in Documentary Letters of Credit: A Comparative Perspective / Opravné Opatrenia Pri Podvodoch S Dokumentárnymi Akreditívami: Komparatívna Perspektíva

2016 ◽  
Vol 5 (1) ◽  
pp. 1-13
Author(s):  
Hamed Alavi
Keyword(s):  
International Trade ◽  
Legal System ◽  
Current Paper ◽  
Comparative Perspective ◽  
Legal Systems ◽  
Letters Of Credit ◽  
Legal Frameworks ◽  
American Legal System ◽  
Article 5

Abstract Article 4 of the Unified Customs and Practices of Documentary Letters of Credit establishes the notion of autonomy principle by separating credit from underlying contract between account party and beneficiary. Article 5 by recognizing the autonomy principle confirms that effectuate the payment under credit, banks only deal with documents and not with goods. As a result, while documentary letters of credit are meant to facilitate the process of international trade, their sole dependency on compliance of presented documents to bank by beneficiary to actualize the payment will increase the risk of fraud and forgery in the course of their operation. Interestingly, UCP (currently UCP600) takes a silent status regarding the problem of fraud in international LC operation and leaves the ground open for national laws to provide remedies to affected parties by fraudulent beneficiary. National Laws have different approaches to the problem of fraud in general and fraud in international LC operation in particular which makes the access of affected parties to possible remedies complicated and difficult. Current paper tries to find answer to the questions of (i) what available remedies are provided to affected parties in international LC fraud by different legal systems? (ii) And what are conditions for benefiting from such remedies under different legal systems? In achieving its objective, paper will be divided in two main parts to study remedies provided by intentional legal frameworks as well as the ones offered by national laws. Part one will study the position of UCP and UNCITRAL Convention on Independent Guarantees and Standby Letters of Credit (UNCITRAL Convention) and remedies, which they provide to LC fraud in international trade. Part two in contrary will study available remedies to LC fraud and condition for access them under English and American legal system.

scholarly journals Autonomy Principle and Fraud Exception in Documentary Letters of Credit, a Comparative Study between United States and England

2015 ◽  
Vol 15 (2) ◽  
pp. 47-68 ◽  
Author(s):  
Hamed Alavi
Keyword(s):  
International Trade ◽  
Common Law ◽  
Legal Aspects ◽  
International Operation ◽  
Legal Personality ◽  
Letter Of Credit ◽  
Law System ◽  
American Law ◽  
Standards Of Proof ◽  
Letters Of Credit

Abstract Despite the fact that Documentary Letters of Credit are involved in process of International Trade for many centuries, but their legal personality is very new and their life span is much shorter than their existence. In the middle of Eightieth Century, Lord Mansfield introduced legal aspects of LC operation for the first time to the Common Law System. Later, International Chamber of Commerce started to codified regulations regarding international operation of Documentary Letters of Credit in 1933 under the title of Uniform Customs and Practices for Documentary Letters of Credit and updated them constantly up to current date. However, many aspects of LC operation including fraud are not codified under the UCP which subjects them to national laws. Diversified nature of National Laws in different countries can be source of confusion and problem for many businessmen active in international operation of Documentary Letters of Credit. Such differences are more problematic in Common Law countries as a result of following precedent. For Example, legal aspects of International LC transactions under British Law are only based on case law, however, American Law addresses Letter of Credit Operation under Article 5 of Unified Commercial Code. Due to important role of English and American law in practice of international trade, current paper will try to compare their approach to autonomy principle of in LC operation, fraud rule as a recognized exception to it and search for answer to following questions what is definition of fraud, and what are standards of proof for fraud in LC operation, under English and American law?

scholarly journals Fraud in documentary letters of credit: A comparative study of excising international legal frameworks

2017 ◽  
Vol 1 (1) ◽  
pp. 48-69
Author(s):  
Hamed Alavi
Keyword(s):  
Research Question ◽  
Legal Systems ◽  
Trade Finance ◽  
Main Research ◽  
Legal Nature ◽  
Long Time ◽  
American Law ◽  
Letters Of Credit ◽  
Legal Frameworks ◽  
Comparative Manner

Documentary letters of credit are among most popular trade finance instruments used in international business. Despite the fact that main purpose derived from application of documentary letters of credit is to reduce the risk of trade, their mere documentary nature makes them vulnerable to the problem fraud. There is a huge interest among legal scholars and academicians to analyse the nature of fraud in documentary letters of credit due to its important financial effect on smooth process of international trade and also diversified approach of different legal systems to this particular problem. However, majority of conducted studies are limited to most popular legal systems including British and American law. Need for studying the LC fraud in a comprehensive comparative manner among existing international legal frameworks is well noticed for long time. Due to their international nature, LC operation is subjected to substantial number of legal frameworks which most of them are either taking a silent position towards problem of fraud or do not show uniform approach to the it. In this paper, author tries to study di$erent sources of law in documentary letters of credit and their approach to the problem of fraud in a comparative manner. The main research question is what would be the position of fraud rule in applicable legal frameworks to the international LC operation and how do they approach the problem of fraud committed by beneficiary in documentary letters of credit? For this purpose, paper is divided into four main parts: After the introduction, second part will discuss the sources of law applicable to international LC transaction. Third section will analyse the legal nature of fraud in LC transaction. Fourth section will scrutinize the legal approach of different legal frameworks to fraud in documentary letters of credit and finally, the last section will sum up the discussion with concluding remarks.

The Reasoning Structure in Legal Disputes on the International Trade of Biotechnology: From a Judicial Balance by Chance to a Judicial Balance by Design

2021 ◽  
pp. 1-16
Author(s):  
Alessandra GUIDA
Keyword(s):  
International Trade ◽  
World Trade Organization ◽  
World Trade ◽  
Technology Innovation ◽  
Global Scale ◽  
Trade Restrictions ◽  
Competing Interests ◽  
The World ◽  
National Economies ◽  
Biotech Products

The international trade in biotech products boosts national economies and advances scientific as well as technology innovation. However, while trading these products increases the spread of benefits on a global scale, it also increases risks to human health and the environment (ie biosafety). This is because the effects of this technology on biosafety are still highly uncertain. Against this background, the judicial bodies under the World Trade Organization (WTO) find themselves in the middle of an intricate and polarised debate in which a proper judicial balance between free trade and biosafety becomes fundamental in order to determine whether requests for ensuring human and environmental health justify trade restrictions. This paper aims to highlight that the WTO is institutionally unready for balancing economic and non-economic values. In suggesting how to rationalise the judicial balance between the competing interests in the context of biotechnology, this paper demonstrates that the judicial adoption of a well-structured proportionality analysis can turn the current balance by chance into a balance by structure.

Genome Editing or Genome Cutting? Communicating CRISPR in the British and German Press

2020 ◽  
Vol 8 (1) ◽  
pp. 45-66
Author(s):  
Yoo Yung Lee
Keyword(s):  
Science Communication ◽  
Public Discourse ◽  
Word Processor ◽  
Public Science ◽  
German Press ◽  
Legal Questions ◽  
British Press ◽  
Legal Frameworks

AbstractIn this paper, I analyze the role of metaphors in public science communication. Specifically, it is a case study of the metaphors for CRISPR/Cas9, a controversial biotechnology that enables scientists to alter the DNA of any organism with unprecedented ease and has raised a number of societal, ethical and legal questions concerning its applications – most notably, on its usage on the human germline. Using a corpus of 600 newspaper articles from the British and German press, I show that there are striking differences in how these two European countries construe CRISPR in public discourse: the British press promotes the image of CRISPR as a word processor that allows scientists to edit the DNA, replacing spelling mistakes with healthy genes, whereas the German press depicts CRISPR as genetic scissors and thereby underlines the risk of mutations after cutting the DNA. I suggest that this contrast reflects differences in the legal frameworks of the respective countries and may influence the attitudes towards emerging biotechnologies among the British and German public.

scholarly journals Effect of Freight Transport Service Performance on Global Market Competitiveness

2021 ◽  
Vol 2 (2) ◽  
Author(s):  
Eyakem Fikru
Keyword(s):  
International Trade ◽  
Performance Index ◽  
Freight Transport ◽  
Global Market ◽  
Service Performance ◽  
Research Approach ◽  
Transport Service ◽  
Market Competitiveness ◽  
Trade Competitiveness ◽  
The Right

The producers, intermediaries, shippers, and consignees, located often thousands of miles distant from each other, require efficient transport and logistics services to get the right product with the right quality and quantity to the right place within the right time and above all at a right price. The main objective of this study was to assess the effect of freight transport service performance on international trade competitiveness. A descriptive research design was used. Secondary data were collected from international organizations' policy, standards documents, and annual report of the year 2018 by using the Logistic Performance Index rank. Moreover, a quantitative research approach was applied. The data were entered, manipulated, organized, and analyzed using Excel and Statistical Package for Social Science. Both descriptive and inferential analyses were used to identify and examine the extent of international trade competitiveness and its implication in the global market. As the result reviled the entire logistic performance factors such as Growth Domestic Product, Distance, Infrastructure, Landlocked, and Timelines were found to be significantly important to determine the global market competitiveness. But, the geographical distance between bilateral countries affected a country’s trade negatively. The top 10 higher Logistic Performance Index scores more competitive and better implementer of the effects of freight transport factors; whereas, the bottom scorers had an ineffective market link with their partners.

scholarly journals International Trade in Goods and Services: Aspects of Monetary and Financial Relations

2020 ◽  
Vol 19 (4) ◽  
pp. 40-49
Author(s):  
E.V. Potekhina ◽  
◽  
A.D. Efremova ◽  
Keyword(s):  
International Trade ◽  
Exchange Rate ◽  
World Economy ◽  
International Division ◽  
Goods And Services ◽  
Number Of Factors ◽  
The World ◽  
The Russian Federation ◽  
National Economies

the article examines such topical problems of the world economy as the peculiarities of interaction between the subjects of the world economy, international trade, international monetary and financial relations, the role of the exchange rate for national economies. The issues of the national economy of the Russian Federation and the degree of the country’s participation in the international division of labor and its openness are considered. In this paper, using the example of Russia, the export of goods and services is analyzed, its relationship with a number of factors (exchange rate and oil price), where the main tools are methods of statistical and econometric analysis.

Globalisation and the dilemmas of international trade unionism

2000 ◽  
Vol 6 (1) ◽  
pp. 29-42 ◽  
Author(s):  
Rebecca Gumbrell-McCormick
Keyword(s):  
International Trade ◽  
Multinational Corporations ◽  
Trade Union ◽  
Trade Unions ◽  
Global Economy ◽  
Trade Union Movement ◽  
Labour Movement ◽  
Trade Unionism ◽  
Union Movement ◽  
Economic Developments

This article presents the author's reflections on the possibilities of a restructuring of the international trade union movement, on the basis of a collective research project to mark the fiftieth anniversary of the International Confederation of Free Trade Unions (ICFTU) which seeks to open a debate within the movement over the lessons to be learned from its history as a guide for its future action. The most important question facing the trade union movement today is what is generally called 'globalisation', a phenomenon that goes back many years, both in terms of economic developments and labour struggles. From this perspective, the paper examines the basis for the existing divisions of the international labour movement, before going over the work of the ICFTU and of the International Trade Secretariats (ITSs) to achieve the regulation of the multinational corporations and of the international economy, and concluding on the prospects for unity of action in the unions' work around the global economy.

Conclusion

Dead Ringers ◽  
2011 ◽  
Author(s):  
Shehzad Nadeem
Keyword(s):  
Economic Growth ◽  
International Trade ◽  
Economic Reforms ◽  
Development Strategies ◽  
Global Market ◽  
Social Goals ◽  
Specific Class

This conclusion revisits the book's central themes and explores their relevance for development strategies. It first considers the economic divide in India, arguing that it is also a cultural one and that both are reinforced by economic reforms that benefit specific class segments to the exclusion of others. It then discusses India's reliance on the global market and international trade, along with the effect of the outsourcing debate on the attitudes of business, policymakers, and the citizenry. It also calls for the denaturalization of globalization and construction of alternative paths of development that allow for experimentation and creativity. Finally, it contends that the prevailing desire for economic growth must be situated within a broader framework in which social goals can be pursued simultaneously.

Migration, Globalization, and Xenophobia in Africa

2021 ◽  
pp. 18-37
Author(s):  
O. Damola Adejumo-Ayibiowu
Keyword(s):  
International Trade ◽  
Free Trade ◽  
Poverty Reduction ◽  
Historical Context ◽  
Global Market ◽  
Migration Pattern ◽  
Global Village ◽  
Developed Economies ◽  
The World ◽  
Opening Up

Globalization integrates the whole world into a global village. The opening up of economies to international trade is expected to lead to growth and poverty reduction. However, the benefits of globalization have been disproportionately skewed towards developed economies. Despite opening its economies to foreign goods and integrating to the global market, Africa remains the poorest region in the world. Xenophobia in Africa has particularly been a major concern as African migrants within the continent have been experiencing various forms of hostilities and xenophobic attacks. Many authors agree that globalization and economic inequality contribute to this trend. This chapter analyzes from an Afrocentric perspective, the various social, economic, and historical context in which globalization and other European capitalist quests in Africa affect migration pattern in the continent and contribute to xenophobia in Africa. This chapter provides an Afrocentric critique of the idea of globalization which mainly promotes free trade and capital but restricts the movement of African labour.

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