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1. Parties: Identification of the applicant (buyer), the issuing bank, and the beneficiary (seller)
2. Background: Context of the transaction, including the underlying commercial relationship and reason for using an RLOC
3. Definitions: Key terms used throughout the document, including banking, trade, and technical terms specific to RLOCs
4. Credit Amount and Currency: Specification of the credit amount, currency, and any tolerance levels
5. Term and Expiry: Duration of the RLOC and conditions for expiry
6. Documentation Requirements: Detailed list of required documents and their specifications
7. Payment Terms: Conditions for payment, including timing and method
8. Bank's Rights and Obligations: Scope of the bank's responsibilities and authority
9. Applicant's Undertakings: Commitments and obligations of the applicant
10. Fees and Charges: Structure of banking fees, charges, and payment responsibilities
11. Default Events: Circumstances constituting default and consequent actions
12. Governing Law and Jurisdiction: Application of Dutch law and jurisdiction specifications
1. Transfer Rights: Include when the RLOC needs to be transferable to other beneficiaries
2. Back-to-Back Arrangements: Include when the RLOC is part of a back-to-back credit structure
3. Sanctions Compliance: Include when transactions involve parties from different jurisdictions requiring specific sanctions compliance
4. Force Majeure: Include when specific force majeure provisions beyond standard terms are required
5. Digital Documentation: Include when electronic presentation of documents is permitted
6. Multiple Drawing Options: Include when partial drawings or multiple presentations are allowed
1. Schedule 1 - Form of Demand: Standard format for making a demand under the RLOC
2. Schedule 2 - Required Documents: Detailed specifications for each required document
3. Schedule 3 - Fee Schedule: Comprehensive breakdown of all applicable fees and charges
4. Schedule 4 - Authorized Signatories: List of persons authorized to act on behalf of each party
5. Appendix A - UCP 600 Modifications: Any specific modifications to UCP 600 rules applicable to this RLOC
6. Appendix B - Communication Procedures: Protocols for communications between parties
Applicant
Banking Day
Beneficiary
Closing Date
Complying Presentation
Confirmation
Credit
Credit Available With
Default Event
Demand
Documentary Requirements
Drawing
Effective Date
Electronic Presentation
Expiry Date
Fees
Force Majeure Event
Governing Law
Issuing Bank
Letter of Credit Amount
Nominated Bank
Notice of Dishonor
Payment Undertaking
Presentation
Presenting Bank
Reimbursement Obligation
Required Documents
Sanctions
Security Interest
SWIFT
Trade Transaction
Transfer
UCP 600
Underlying Transaction
Interpretation
Credit Facility
Conditions Precedent
Documentation Requirements
Payment Terms
Bank Obligations
Applicant Obligations
Representations and Warranties
Documentary Compliance
Fees and Charges
Default Events
Remedies
Force Majeure
Assignment and Transfer
Notices
Amendments
Sanctions Compliance
Anti-Money Laundering
Data Protection
Confidentiality
Indemnification
Set-off Rights
Severability
Waiver
Governing Law
Jurisdiction
Dispute Resolution
Banking and Financial Services
International Trade
Manufacturing
Import/Export
Commodities Trading
Shipping and Logistics
Energy and Resources
Construction
Heavy Equipment
Agricultural Products
Legal
Finance
Treasury
International Trade
Risk Management
Compliance
Corporate Banking
Trade Operations
Documentary Credits
Credit Risk
Trade Finance Manager
International Banking Officer
Chief Financial Officer
Treasury Manager
Trade Operations Manager
Corporate Banking Manager
Risk Management Officer
Compliance Officer
Documentary Credits Specialist
International Trade Specialist
Legal Counsel
Corporate Finance Director
Banking Relationship Manager
Credit Risk Officer
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