Can somebody please help me with the 'letter of credit' case study questions ? Thank you in advance.

1.

A concluded a deal with B importing certain goods. The shipment was to be made in 3 lots. A opened L/C according to the contract. After the arrival of the first lot, A found that there was quality discrepancy, and therefore informed the issuing bank to stop the payment to the second lot, otherwise, he would refuse to make payment. The issuing bank declined As request.

Questions: Is As request reasonable? What would you do if you were A?

2.

The exporter shipped the goods according to the sales contract after he had received the L/C and presented the documents to the bank. However, the issuing bank notified the exporter that the bank was no longer liable for the payment because the applicant was bankrupt.

Question: what should the exporter do?

3.

Company A signed an export contract with a European company B. Both parties agreed to ship the goods in August. However, the L/C stipulated that shipment should be made not later than August 15. As there was no vessel to the port of destination before August 15, A asked B to extend the time of shipment to September 15. B cabled his reply immediately: Agree to extend the time of shipment to Sept.15. The validity time of L/C will be extended accordingly. Company A effected the shipment on September 10, and presented the whole set of documents on Sept. 15 to the bank for payment, but was dishonored.

Question: is the bank entitled to refuse to make the payment? Why?

4.

Company A concluded a deal on walnut meat with company C. Payment was to be made by L/C, which stipulated :400 metric tons of walnut meat, packing in new bags. Shipment is to be made from Dalian to London by July 31, 2007. Partial shipment and transshipment are not allowed. While A was making arrangement for the shipment, he got a notification of amendment to L/C from C: increase the quantity by 100 metric tons, time of shipment will be extended to August 31,2007. A cabled immediately his acceptance to the amendment, and shipped 400 metric tons of walnut meat according to the contract, and began to make arrangement to ship 100 metric tons of walnut meat in August. The bank dishonored the payment request by A for 400metric tons of walnut meat. It claimed that the presented documents did not comply with the L/C stipulations because partial shipment was not allowed by the L/C.

Question: is it reasonable for the bank to refuse to pay?