M.A. Thesis:

payment methods with ucp۶۰۰ regulations approach in international trade law

Commercial and guaranteed documentary credit with warranties acts as types of banking independent obligations in order to ensure of operatingthe commitments and providing reassurance to the parties of base contract. This common feature does not lead to replacing commercial documentary credit with bank guarantee and guaranteed documentary credit. Although guaranteed documentary credit is approaching to the commercial documentary credit enjoying of important characteristics such as independence of the basis contract and pay tothe one who giving documentaries, but there are fundamental differences between them. In fact, documentary credit is the most important means of payment in international sales and has a major and unique role to facilitate and develop the international trade. In this term, the most important leveraging it, is the international payments in exports and imports.Uniform Customs and Practice for Documentary Credits (ucp) is as the most useful banking tools which is compilation ofinternational chamber of commerce and almost every ten years has been revised, last revised was in 2007 and the result was the 600 publication (ucp600). Commercial documentary credit is the mechanism for paying goods or services under which the beneficiary is a party who is obligated to execute the basis contract and receives the amount of the credit by providing the specified documents indicating the execution of the credit, but the guaranteed documents credit is used as a supportive and safeguarding instrument in order to reduce the risk of not operating of basis contract, and beneficiary of guaranteed documents credit is not performer of commitment in basis contract and his entitlement to claim credit is not due to deliver on promises, but from the failure of the other party in the performance of the basis contract. In addition, to provide necessary documents often is in the hand of beneficiary in guaranteed documentary credit, that always can provide this document according to the conditions set out in the guaranteed credentials; even though required document for commercial document credit often are issued and set by third and independent parties. The credit payment almost asked for the guaranteed documentary credit such as guaranties, in sort of exceptional case which in commitment from basis contract is not operated. For this reason, unlike commercial documentary credit, it plays a secondary payment role to ensure the fulfillment of obligations and commitments.

Keywords: documentary credit, bank guarantee, payment of the price, International trade law, guaranteed docum