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An exporting company receives an irrevocable sight L/C from abroad. When preparing to ship the goods according to the stipulations of the letter of credit,
An exporting company receives an irrevocable sight L/C from abroad. When preparing to ship the goods according to the stipulations of the letter of credit, the exporter suddenly gets a notice from the Opening Bank saying that the Applicant has become bankrupt due to the pandemic situation and reject the payment.
1. Is it reasonable for the opening bank to reject the payment in this case?
2. What should the exporter deal with the problem?
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