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Simple English definitions for legal terms

negotiation letter of credit

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A quick definition of negotiation letter of credit:

A negotiation letter of credit is a document issued by a bank that promises to pay a third party (the beneficiary) if they meet certain conditions. This is often used in international trade to ensure that the seller gets paid for their goods. The letter of credit can be either revocable (able to be cancelled) or irrevocable (cannot be cancelled without everyone's agreement). There are many different types of letters of credit, including those that require specific documents to be presented and those that can be paid without any additional documents.

A more thorough explanation:

A negotiation letter of credit is a type of letter of credit that allows for the transfer of funds from the issuing bank to the beneficiary through a third party, such as a bank or financial institution. This type of letter of credit is governed by Article 5 of the UCC and is often used in international trade transactions.

For example, if a company in the United States wants to purchase goods from a company in China, they may use a negotiation letter of credit to ensure that the payment is made to the Chinese company once the goods have been shipped and received. The Chinese company can present the necessary documents to a bank or financial institution in China, who will then transfer the funds from the issuing bank in the United States to the Chinese company.

Another example of a negotiation letter of credit is when a company wants to secure a loan from a bank. The bank may require a negotiation letter of credit as collateral, which allows the bank to transfer funds to the company if they default on the loan.

negotiating bank | negotiorum gestio

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shaquilleoatmeal
16:02
@soyalmondoatmilk: im weak af, can't handle that spicy cashew lmao
shaquilleoatmeal
16:03
@babycat: 😘 see you in a bit, grind out those essays before you hop back on
shaquilleoatmeal
16:04
appreciate the non wink since you didn't appreciate it them then lol
babycat
16:06
I'll do it for you ;)
16:06
Tough to justify attending a law school where the admissions office does epic resistance political commentary at the info session
BulbasaurNoLikeCardio
16:07
making me feel jealous here wow, I am about to go taste test a bunch of deserts for our baby shower this weekend.
BulbasaurNoLikeCardio
16:07
@milktoast: what school got political at an info session?
shaquilleoatmeal
16:11
nothin to be jealous about, i've been trying to slide into babycats dms but shes got a long line I guess I gotta wait in to see if I can get in lmao
babycat
16:11
omg if you get into ASU they give you travel expense reimbursement to go there for a visit. does anyone know which other schools do this? I'd love to get a comped vacation
shaquilleoatmeal
16:12
think BU gives you $300 or somethin
ClassyPleasantHeron
16:12
Where is ASU getting this kind of $$$ from? They waive CAS fees too.
babycat
16:13
@shaquilleoatmeal: yeah but then you have to go to Boston :(
shaquilleoatmeal
16:14
uva too
shaquilleoatmeal
16:14
whats wrong w boston ;(
GOT PROMOTED YAY how do i tell law schools abt this?
like do i type up and separate doc and send as an attachment? how much do i write?
shaquilleoatmeal
16:15
@jackfrost11770: LFGGGG
TYYYYYY
shaquilleoatmeal
16:16
do any of your schools have updated sections in the portal? If so, i'd upload there, if not email. Small paragraph should do it id think
1a2b3c4d26z
16:16
Who wanna play some operation metro later on
1a2b3c4d26z
16:16
Congrats jack!
thank you!!
babycat
16:16
@jackfrost11770: personally I would submit an updated resume reflecting the new position instead of a paragraph but idk what SOP is
getting a bacon egg and cheese in celebration
1a2b3c4d26z
16:18
lfg baby you earned that
babycat
16:20
also congrats!! big win
initiallaw
16:23
congrats!!
:D
the big W is that i get reimbursed for travel now thank GOD
jack moving up in the world :)
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