FT is a leading commodity trading company headquartered in Singapore. SL is a company that processes, packs and sells soybeans from over 20 farms across Australia, FT purchased 100 metric tons of "Australian grown non-GMO (non-Genetically Modified) soybeans" from SL. The purchase was made under a CIF contract, goods to be shipped to Hong Kong from Port Kembla, New South Wales, Australia, latest date of shipment, March 15, 2018 [Treat the additional facts in each part of the following questions independently from the other parts.] Additional facts An irrevocable letter of credit was issued by Bank of Singapore and confirmed by Sunshine Bank in Sydney, Australia, for S$450,000 requiring the following documents: insurance certificate for SS450,000, clean bill of lading stating that the goods are in "apparent good order and condition" invoice for 100 metric tons of non-GMO soybeans at SSS450,000, and an inspection certificate from an Approved Certifier appointed by Australian Organic Limited certifying that the soybeans are non-GMO The soybeans were loaded on board the ship in Port Kembla, New South Wales, Australia and a bill of lading was issued, shipment dated 15 March 2018. The bill of lading contained a notification in red stating that the carrier was not responsible for any bursting of bags because "packaging was insufficient, several bags torn and re-sewn". The seller's commercial invoice and the Inspection Certificate stated that the goods were organic soybeans". These documents were presented by SL to Sunshine Bank. Sunshine Bank is unsure about making payment and has consulted Bank of Singapore. Question - Should Sunshine Bank and Bank of Singapore make payment under the Letter of Credit? Please cite relevant provisions of the UCP (if any) to support your answer. (16 marks) English (United Kingdom Focus FT is a leading commodity trading company headquartered in Singapore. SL is a company that processes, packs and sells soybeans from over 20 farms across Australia, FT purchased 100 metric tons of "Australian grown non-GMO (non-Genetically Modified) soybeans" from SL. The purchase was made under a CIF contract, goods to be shipped to Hong Kong from Port Kembla, New South Wales, Australia, latest date of shipment, March 15, 2018 [Treat the additional facts in each part of the following questions independently from the other parts.] Additional facts An irrevocable letter of credit was issued by Bank of Singapore and confirmed by Sunshine Bank in Sydney, Australia, for S$450,000 requiring the following documents: insurance certificate for SS450,000, clean bill of lading stating that the goods are in "apparent good order and condition" invoice for 100 metric tons of non-GMO soybeans at SSS450,000, and an inspection certificate from an Approved Certifier appointed by Australian Organic Limited certifying that the soybeans are non-GMO The soybeans were loaded on board the ship in Port Kembla, New South Wales, Australia and a bill of lading was issued, shipment dated 15 March 2018. The bill of lading contained a notification in red stating that the carrier was not responsible for any bursting of bags because "packaging was insufficient, several bags torn and re-sewn". The seller's commercial invoice and the Inspection Certificate stated that the goods were organic soybeans". These documents were presented by SL to Sunshine Bank. Sunshine Bank is unsure about making payment and has consulted Bank of Singapore. Question - Should Sunshine Bank and Bank of Singapore make payment under the Letter of Credit? Please cite relevant provisions of the UCP (if any) to support your answer. (16 marks) English (United Kingdom Focus
