A Chinese exporter reached a contract with a UK buyer about some commodities in a large quangtity in terms of CIF and irrevocable sight L/C payment, stipulating the shipment shall be effected in November in the contract, but no specific L/c issuing date mentioned therein. Later,the UK buyer delayed the sisurance of L/C because of market price of the commdity. To avoid the delay of the shipment the exporter had urged the buyer to issue L/C for many times since the middle of OCT., the buyer finally issued the L/C up to 8th Nov. However, it is too late for the exporter to arrange for the shipment as scheduled, who therefore required the buyer to extend the shipment time and the L/C negotiation expiry date for one more month. The UK buyer refused the requirement ,and cancelled the contract unilaterally excusing that teh exporter failed to effect shipment on time. The exporter did nothing but accepted it. What lessons shall we learn from it?
A、The issuance time of L/C shall be stipulate in the contract
B、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.So the exporter shall take the claim right against the buyer for the buyer's failure of issuing L/C on time
C、As to the buyer cancelling the contract unilaterally without the permit of exporter,the exporter shall not let it be.
D、We should investigate each other credit before signing a contract