14.贸易融资课堂练习.pdf

Chapter 7 Bank guarantees 1.Key words: 见索即付保函 demand guarantee 投标保函 tender or bid guarantee 履约保函 performance guarantee 预付保函 advance payment guarantee 留置金保函 retention guarantee 违约 default 索赔 claim 反担保 counter indemnity 履约 performance 指示方 instructing party 保兑人 confirming party 转递行 transmitting bank 2.Main contents: A guarantee is issued by a guarantor, usually a bank or an insurance company, on behalf of an exporter. It is a guarantee to the buyer that the exporter will fulfill his contractual obligations. If these obligations are not fulfilled, the guarantor undertakes to pay a sum of money to the buyer in compensation. This sum of money can be anything from 1% to 100% of the contract value. If the guarantee is issued by a bank, then the exporter is asked to sign a counter indemnity which authorizes the bank to debit his account with any money paid out under the guarantee. A guarantee has various types, such as tender or bid guarantee, performance guarantee, advance payment guarantee, warranty or maintenance guarantee, retention guarantee, etc. The main parties involved in a guarantee are applicant or principal, beneficiary, guarantor or surety. Sometimes counter guarantor (or instructing party), confirming party and advising party (or transmitting bank) will be possibly involved. 3.Please fill the following blanks in according to your knowledge. 1) Definition of demand guarantee (ICC Publication No. 510) A demand guarantee may be defined as an undertaking given for payment of a stated or maximum sum of money on presentation to the party given the ____________ of a demand for payment (almost invariably required to be in writing) and such other documents (if any)