| The credit received by the company A reads shipping date as on or about 5 and 10. The document presenting date is May 15th, and the available period is until May 30th. The company shipped the goods on May 15th and documents are presented to a negotiating bank on may 15th but it was Saturday which is a day when banks close business earlier than other days. So the paper was again presented on May 16th but the bank rejected payment declaring the document presenting period is expired.
Case study
1. Indicating shipping date
According to the U.C.P., there are many ways to indicate shipping date but prohibits any unclear expression. Specially words such as prompt, immediately, as soon as possible are to be avoid. (The Sub-Article 46(b) of U.C.P 500).
2. The definition of On or about
On or about is the date appointed, specifying 5 days before and after totaling 11 days. So it means until May 15th.
3. Document presenting period
A document presenting time to a bank is the bank's business closing point of time. So a bank has no duty to accept a document presented on or before the business hour.
Conclusion
The shipping period is not over but the late presentation due to a bank's business closing time on Saturday can be the reason for payment rejection. |
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Claim . Unpaid Cases 
46-General Expressions as to Dates for Shipment
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