The legal strength of Bill of Exchange in International Trade. What is Bill of Exchange in International Trade.

The legal strength of Bill of Exchange in International Trade. What is Bill of Exchange in International Trade.

 The information provided here is part of Online export import training guide 

 

Bill of Exchange is a negotiable instrument binds to pay by one party to another party on a predetermined future date. In Indian trade, Bill of Exchange is defined as “an instrument in writing containing an unconditional order, signed by the maker, directing a certain person to pay a certain sum of money only to or to order of, a certain person or to the bearer of the instrument.”

While sending shipping documents to the buyer through his bank, the exporter enclose Bill of Exchange duly signed. While delivering shipping documents to the buyer by buyer’s bank, the said Bill of exchange is needed to be signed by buyer accepting the terms and conditions mentioned in the document to effect the payment as per the stipulated period.

As per my opinion, the international legal strength of Bill of exchange at the present scenario to be discussed on the assurance on export proceeds to the seller. Let me have your comments.

 


The above information is a part of Import Export course online


Other details on how to import export  

 

Formalities for Export bills discounting What is bill discounting in exports

How to get exemption of Sales Tax under exports.

What is Terms of Delivery in Imports and exports

How to overcome Negative thoughts in export business

Can Original Bill of lading be surrendered under DP terms of payment?

Disadvantages of Letter of credit (LC) for Exporter

Excise and Customs - Click here to read complete notification under Budget 2014

How to get Export Orders?

How to settle dispute in Exports and Imports?

Click here to know India Trade Classification(ITC)

Click here to know HS code of other product/commodity

Pre shipment bank finance to suppliers for exports through other agencies

Types of export containers
Measurement of export containers
Export Import Policy of India 2015-20
MEIS, Merchandise Exports from India Scheme
SEIS, Service Exports from India Scheme
Merge your Commercial Invoice and Packing List for all your future exports
Export procedures and documentation

   

 

How does a Running bond work?
How does Bill of Lading work in DP payment terms?
How does Bill of Lading work in Sight LC
Transferability of Bill of Lading
Transhipment - A redefinition        
Triangular shipment
Types of Insurance Documents
How does CENVAT Credit work? 
Import General Manifest (IGM)
Importance of Bill of Lading 
 Is Airway bill a documents of title?
Is Customs House Agents (CHA ) required to be appointed mandatory?
 Is DP terms of payment safe in export business?
 
Is Letter of Credit LC safe for an Importer?
 Is ON BOARD CERTIFICATE required for LC negotiation
 What is VACIS exam in US import customs clearance
 
When can an exporter release bill of lading from shipping company?
 
When does exporter get EP copy of shipping bill after customs clearance
How does CFR term of delivery work in Export Import business
 
How does comprehensive policy of ECGC work for exporters?
The role of CBEC - Central Board of Excise and Customs in India.
 The role of Export Inspection Agency in Pre-shipment Inspection & Quality Control
The role of Reserve Bank of India
The Role of the International Chamber of Commerce (ICC)
Negotiation procedures and formalities of export bills
Non receipt of Cargo Arrival Notice, Can importer sue against shipping company
OBJECTIVES OF CUSTOMS CONTROL for EXPORT GOODS

OBL not released OBL not surrendered no telex release

Payment procedures in Triangular exports
Who is Stevedores
Who receives the amount of auctioned / resold imported unclaimed/un-cleared goods?
 
Why demurrage/detention waiver period is required at destination for import

 

 



Discussion Forum

You can also share your thoughts about this article.
Any one can answer on question posted by Readers