In a separate transaction, Tahir makes a contract with Byron, expressed in these terms: “sale on CIF Felixstowe terms, June shipment, 200 tons of recycled dry paper pulp”. Payment is by letter of credit, to be issued by Bank Eda. Tahir delivers the following documents to Bank Eda: – A bill of lading made out specifically to “Byron” referring to “approx. 200 tons high grade paper product shipped on 30 June; bill of lading discharged as a result of wetting of goods onboard vessel”, – An insurance certificate relating to the goods, – A commercial invoice referring to “200 tons high grade recycled paper pulp”, Bank Eda suspects that the bill of lading has been falsely dated and notes that the UK has, with effect from July, banned the import of paper from Southeast Asia. The vessel is due to arrive at Felixstowe on 25 July. Bank Eda refuses to pay Tahir. Byron offers to secure a letter of indemnity from a trade finance house, Fatu Export-Help, whereby Fatu Export-Help undertakes to indemnify the bank from any liability arising from honouring the letter of credit. please only discuss on the matter of : Byron offers to secure a letter of indemnity from a trade finance house, Fatu Export-Help, whereby Fatu Export-Help undertakes to indemnify the bank from any liability arising from honouring the letter of credit- and assuming that english law applies advise the parties to their rights an liabilities. please no not discuss matters relating to private international law.
