Judgment

In foreign trade terminology, 'Judgment' does not refer to a court ruling in an ordinary commercial dispute, but specifically to the final decision made by the issuing bank on whether the documents comply in a letter of credit transaction. The ICC Uniform Customs and Practice for Documentary Credits (UCP600) stipulates that the issuing bank shall, within a maximum of five banking days following the day of receipt of the documents, examine them on the basis of the documents alone and independently make a 'judgment' to accept or refuse the documents. This judgment is final and directly determines whether the beneficiary can obtain payment. Usage scenarios include: the issuing bank issues a notice of refusal after examining documents, the nominated bank and the issuing bank dispute discrepancies, or the beneficiary requests the issuing bank to reconsider its refusal decision. Points to note: the judgment must state all discrepancies in a single notice, otherwise the issuing bank will lose its right to refuse; the judgment must be sent by telecommunication or in writing and state the disposal of the documents. Difference from other terms: it is different from a court judgment and also different from an arbitral award; it is a professional document examination conclusion of a bank under a letter of credit.