• Korea Trade Review
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• v.41 no.5
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• pp.235-254
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• 2016

Recently, enterprise information management activities have been applied to promote electronic trade, while changing the paradigm of cross-border trade and overall trade business processes. L/C, which facilitates payment from the trade transaction in a company, has been able to eliminate the high cost and inefficient element of the trade process by utilizing the electronic letter of credit (e-L/C). This study examines the influential relationship among the e-trade utilizing factor (such as the perceived ease of use and the volition of CEO), the e-L/C and corporate performance, and the study aimed to verify the moderating effect of customer service level by organizations utilizing e-trade. For the purpose of the research, we conducted a survey implementing the e-L/C and analyzed the 338 data collected. The results of this research are as follows. First, the perceived ease of use and volition of CEO have positive impact on the e-L/C. Second, the e-L/C has positive impact on the business performance. Third, a moderating effect shows on the customer expectation level. The main implication of this study is that the perceived ease of use is to be considered preferentially than the volition of CEO in order to utilize electronic trading, and the volition of CEO shows synergy effect with customer service level by organization utilizing e-trade.

• Korea Trade Review
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• v.43 no.4
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• pp.89-110
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• 2018

This paper reviews the practical operations and exceptions to the independent principle by analyzing the leading cases of English documentary credit transactions. A bank's undertaking in L/C transactions differentiates between underlying contract and other contracts. The autonomy principle is the key principle governing L/C, but this principle may be connected with unfair (unjust) payment. English Law is strongly influenced by the developments in American Law in the case of fraud, but traditionally, British courts has been very reluctant to interfere in banks' independent undertaking under the L/C. The position of British case law relating to fraud is based on Sztejn. In practice, British courts recognize fraud as an exception to the autonomy principle in which the case is sufficiently serious to render it unjust to permit the beneficiary to receive payment. British case law has historically taken a narrow approach toward intervention in the independent principle of documentary credit. Therefore, innocent parties including beneficiaries are protected by these regulations regarding fraud.

• Journal of Korea Port Economic Association
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• v.29 no.2
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• pp.255-275
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• 2013

The purpose of the study is to examine compliance criteria for documents of the Letter of Credit(L/C) by the Korean Supreme Court in practical use. The judgement criteria of the court in documents' examination is supported by the doctrine of strict compliance. And, in examination of documents by the Supreme Court, the difference between documents presented and the credit should be followed by the allowance of international standard banking practices. In this case, the Supreme Court makes a reference for ICC's opinion or decision proposed as the international standard banking practices, or otherwise admit by exploring the practices. However, when documents reviewing by the bankers' auditors, it is very difficult for them to judge in a short time due to the lack of high level of knowledges and insights. As shown the cases of this study, the doctrine of strict compliance of an L/C be relaxed, and most of the recent precedents be ruled by the exception of the doctrine. Because, therefore, it is difficult for to documents reviewers of bank to judge these consistencies, conducting arbitrary document review will be inevitable. As a result, it will be difficult for banks and applicants to ensure the strictness of the documents, and free use of L/Cs in international transactions will be avoided. Finally, the expanded usage of the electronic negotiation system that simplifies the highly difficult compliance criteria to ensure the strictness of documents will be needed, and not only be eradicated the acts of arbitrary documents examination practices, but also be promoted the freely usage of L/Cs.

• The Journal of Information Technology
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• v.3 no.4
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• pp.55-72
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• 2000

The International Standby Practices (ISP98) has been carefully crafted for use with standby letters of credit. ISP98 is expected to become widely used for standby letters of credit commencing January 1, 1999. These new practices have been ratified and jointly published by the International Chamber of Commerce- the same organization that Provided us with the Uniform Customs and Practices for Documentary Credits, UCP500. The intention behind drafting ISP98 was to consolidate common and accepted practices applying to Standby Letters of Credit and to set a worldwide standard. ISP98 gives issuing organizations a set of practices that are free from the anomalies that arise when UCP500 is applied to Standby Letters of Credit This paper focuses on ISP98 provisions that may lead to changes in forms of standby letters of credit and reimbursement agreements, that may lead to changes in standby practices, that may alert parties to issues they had not previously focused upon, or that parties may wish to limit or vary, This Paper also focuses on differences between ISP98 and the Uniform Customs and Practice for Documentary Credits, 1993 revision, ICC Publication No. 500(UCP 500).

• Journal of Arbitration Studies
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• v.15 no.3
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• pp.175-205
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• 2005

One of the important issues facing current letter of credit practice is the effect of nondocumetary conditions. A nondocumentary condition is a condition contained in the credit without stating the document to be presented in compliance therewith, so nondocumentary condition must be ascertained by reference to factual matters rather than by review of a tendered document. This study attempts to examine the regulations in UCP, ISP98 and UCC on the nondocumetary conditions and the opinions on the effect of nondocumetary conditions and to analyze various cases on the effect of nondocumetary conditions. The results of this study can be summarized as follows. Firstly, UCP, ISP98 and UCC stipulate that banks will deem nondocumetary conditions as not stated and will disregard then So the legal standards for nondocumetary conditions have established. Secondly, courts used to permit the effect of nondocumetary conditions on the basis of the Wichita rule, party autonomy. Thirdly, issuing banks and applicants should not attempt to put in any nondocumetary conditions in order to prevent disputes on the effect of nondocumetary conditions.

• International Commerce and Information Review
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• v.16 no.3
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• pp.203-221
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• 2014

ICC Banking Commission have approved the new version of ISBP for UCP 600(Publication 745) on April 17, 2013. This is called the ISBP 745. This revised version of ISBP includes a lot of shipping documents including bill of exchange. These shipping documents stated in the ISBP 745, especially the certificate of origin is the document necessary for carrying out the customs formalities in FTA era. Particularly, practitioners such as bankers, buyers and sellers, lawyers, freight forwarders and carriers in import and export transactions have to know the UCP 600 and ISBP 745 (2013) thoroughly in order to avoid the disputes due to discrepancies of the documents with the terms and conditions of the credit. The purpose of this article is to reduce the disputes occurred in the credit transaction by providing the examination criteria and case study of the certificate of origin in ISBP 745.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.47
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• pp.107-127
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• 2010

This work intends to study the obligations and liabilities of advising bank in UCP 600. An advising bank has two big obligations as follows : by advising the credit or amendment, the advising bank signifies that it has satisfied itself as to the apparent authenticity of the credit or amendment and that the advice accurately reflects the terms and conditions of the credit or amendment received. An advising bank may utilize the services of another bank("second advising bank") to advise the credit and any amendment to the beneficiary. If a bank is requested to advise a credit or amendment but elects not to do so, it must so inform, without delay, the bank from which the credit, amendment or advice has been received. An advising bank has some problems in connection with the delay of advice and the advice of forged letter of credit.

• International Commerce and Information Review
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• v.4 no.1
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• pp.39-57
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• 2002

전자신용장통일규칙에 대한 그 동안의 논의는 주로 UCP500과는 별도로 새로운 통일규칙을 제정하여야 한다는 논의와 기존의 UCP500내에서 전자서류에 대한 내용을 새로이 추가하여야 한다는 논의였다. 그러나 궁극적으로 UCP500의 경우 종이서류를 근거로 하여 내용을 규정하고 있기 때문에 전자신용장거래에서의 전자제시에 대하여 적용할 수 없었다. 이러한 점에서 UCP500에서는 전자무역거래에서 사용되고 있는 기본 개념조차도 수용되어 있지 않고 있는데 예를 들면, 전자서명, 전자서류 또는 전자기록에 대한 내용이다. UCP가 안고 있는 이러한 문제의 소지를 사전에 해결하기 위하여 ICC에서 eUCP를 제정하였다는 점에서 큰 의의가 있다고 할 수 있다. 이와 같이 본 연구는 eUCP의 도입배경을 선화증권의 위기문제와 연관시켜 조명하고 eUCP의 주요내용을 살펴보고 이를 UCP500의 규정과 비교하여 봄으로써 UCP500과 유기적으로 사용될 eUCP의 이해를 제고하여 향후 발생될 당사자의 분쟁을 사전에 방지하고자 하는 것이 그 목적이다.

• International Commerce and Information Review
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• v.15 no.2
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• pp.429-455
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• 2013

This paper investigates the extent and scope of electronization of Letter of Credit and examines the obstacles in the course of electronization of Letter of Credit. For this purpose, this paper adopts two track methodologies. First, we study the electronization of Letter of Credit in the macro perspective. It means that we analyze the scope and the extent of electronization of electronic Letter of Credit in the national economy as a whole. Second, we utilize the case study approach to examine the electronization of Letter of Credit in micro perspective. In other words we examine individual commercial banks in Korea. For this purpose, we analyze the data from two commercial banks out of four largest domestic banks in Korea. For example, we select two commercial banks in Korea and ask current status of electronization of Letter of Credit, i.e, the utilization of EDI L/C, e-L/C, and e-B/L. A major finding of our study is that the extent of electronization is not negligible in micro perspective as well as in macro perspective. In micro perspective, two commercial banks utilize EDI letter of credit in a critical sense. On the other hand, they seldom uses e-L/C and e-B/L in international transaction. This study shows that major bottlenecks for the electronization of Letter of Credit are pessimistic perception of SME entrepreneurs toward the electronization of Letter of Credit and the high costs of system building. We conclude that unlike superficial perception, there is a considerable progress toward the electronization of Letter of Credit in micro perspective.

• 복합운송
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• s.125
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• pp.32-33
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• 1999