Chapter7 International payment.（课件）《国际贸易实务双语教程》同步教学（清华大学出版社）

Chapter Seven International Payment Learning objectives Master the instruments of international payment. Familiar with the stages involved in remittance, collection, and letter of credit. Know the variations of documentary credit. Master the nature and classification of the tree basic methods of payment. Contents Case study 1 Section 1 Instruments of Payment 2 Section 2 Modes of International Payment 3 Section 3 Usage of Different Payment Modes 4 Key terms 5 Case Study A Chinese exporter concluded a contract with a European buyer for 1, 000 metric tons of agriculture products in terms of CIF and irrevocable sight L/C payment, stipulating the shipment shall be effected in November in the contract, but the specific issuing date of the L/C did not mentioned therein. Due to the decrease of market price of the commodity after signing the contract, the European buyer delayed and delayed the opening of L/C. The exporter had urged the buyer for many times since the middle of October, and finally, the buyer issued the L/C on 8th November. However, it is too late foe the exporter to arrange for the shipment as scheduled, who therefore required the buyer to extend the time of shipment and the expiry date of the L/C for one month. The European buyer refused the requirement, and cancelled the contract unilaterally excusing that the exporter failed to effect shipment on time. The exporter had no way but to accept it. Please analyze and comment about it: Had the exporter settled the matter in a proper way? And what lessons we shall learn from it? Analysis The exporter did not settle it properly, the lessons we shall take are as follows: (1) The issuance time of L/C should be stipulated clearly in the contract. (2) In accordance with the international usual practice, the buyer shall issue the L/C before the shipment month even though the issuance date is not mentioned in the contract; the exporter shall keep the right for claim against the buyer for the buyer’s failur