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
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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
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Measurement of export containers
Export Import Policy of India 2015-20
MEIS, Merchandise Exports from India Scheme
SEIS, Service Exports from India Scheme
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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
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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