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SBLC Trade Program
"I need an SBLC Trade Program agreement for my mining company to secure equipment purchases from international suppliers, with a program limit of AUD 50 million, to be effective from March 2025, including provisions for multiple beneficiaries and enhanced compliance requirements for high-risk jurisdictions."
1. Parties: Identification of all parties to the agreement including the bank, applicant, and beneficiary
2. Background: Context of the SBLC program, purpose, and relationship between parties
3. Definitions and Interpretation: Key terms, interpretation rules, and governing standards (including UCP 600 and ISP98 references)
4. Program Structure: Overview of the SBLC trade program, facility limits, and general terms
5. SBLC Issuance Requirements: Conditions precedent, documentation requirements, and issuance procedures
6. Fees and Charges: All applicable fees, commissions, and charges related to the SBLC program
7. Representations and Warranties: Standard and specific representations by all parties
8. Obligations and Undertakings: Ongoing obligations of all parties throughout the program duration
9. Risk Management and Compliance: AML/CTF requirements, sanctions compliance, and risk mitigation measures
10. Default Events: Events constituting default and their consequences
11. Remedies and Enforcement: Rights and remedies available to parties in case of default or breach
12. Term and Termination: Duration of the program, renewal terms, and termination provisions
13. General Provisions: Standard legal provisions including notices, amendments, and governing law
1. Collateral Arrangements: Used when specific security or collateral is required to support the SBLC program
2. Multiple Beneficiary Provisions: Required when the program allows for multiple SBLC beneficiaries
3. Currency Exchange Provisions: Needed for programs involving multiple currencies or exchange rate considerations
4. Third-Party Rights: Include when third parties have specific rights or roles in the program
5. Special Purpose Vehicle Provisions: Required when an SPV is involved in the program structure
6. Assignment and Transfer: Include when rights under the program may be assigned or transferred
7. Counter-Guarantees: Used when counter-guarantees are part of the program structure
8. Syndication Provisions: Required for programs involving multiple issuing banks
1. Schedule 1 - SBLC Format: Standard format and template for SBLCs to be issued under the program
2. Schedule 2 - Fee Schedule: Detailed breakdown of all fees, charges, and commission structures
3. Schedule 3 - Issuance Procedures: Detailed procedures and requirements for SBLC issuance
4. Schedule 4 - Required Documents: List and formats of all required documentation for SBLC applications
5. Schedule 5 - Compliance Requirements: Detailed AML/CTF and regulatory compliance requirements
6. Appendix A - Application Forms: Standard forms for SBLC applications and amendments
7. Appendix B - Authorized Signatories: List of authorized signatories and specimen signatures
8. Appendix C - Communication Protocols: Procedures for communications and notifications between parties
Authors
Applicant
Application
Authorized Representative
Banking Day
Beneficiary
Business Day
Claim
Collateral
Compliance Requirements
Confirmation
Confirming Bank
Counter-Guarantee
Default Event
Default Rate
Drawing
Effective Date
Expiry Date
Facility
Facility Limit
Fee Schedule
Financial Indebtedness
Force Majeure Event
Governing Law
Guarantee
ICC
ISP98
Issuing Bank
Letter of Credit
Material Adverse Effect
Obligation
Payment Date
Program
Program Documents
Relevant Authority
Required Documents
Sanctions
SBLC
Security
Security Interest
Specified Currency
Standby Letter of Credit
Sub-Limit
Term
Transaction
UCP 600
Underlying Transaction
Facility Establishment
Program Limits
Conditions Precedent
SBLC Issuance
Application Process
Fees and Charges
Payment Terms
Security and Collateral
Representations and Warranties
Undertakings
Covenants
Risk Management
Compliance Requirements
Anti-Money Laundering
Sanctions Compliance
Default Events
Enforcement Rights
Indemnification
Force Majeure
Assignment and Transfer
Confidentiality
Data Protection
Notices
Amendments
Governing Law
Dispute Resolution
Set-off Rights
Currency Provisions
Severability
Entire Agreement
Counterparts
Third Party Rights
Term and Termination
Documentation Requirements
Communication Protocols
Authority and Capacity
Relationship of Parties
Costs and Expenses
Banking & Financial Services
International Trade
Import/Export
Manufacturing
Commodities Trading
Construction
Energy & Resources
Infrastructure
Agriculture
Wholesale & Distribution
Legal
Finance
Treasury
Trade Operations
Risk Management
Compliance
International Banking
Corporate Banking
Credit
Trade Finance Operations
Documentary Credits
Chief Financial Officer
Trade Finance Manager
Treasury Manager
Finance Director
Commercial Banking Manager
Trade Operations Manager
Risk Manager
Compliance Officer
Legal Counsel
Documentary Credits Specialist
International Business Manager
Corporate Banking Relationship Manager
Credit Risk Officer
Trade Finance Operations Officer
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