Updating Standby Letter of Credit Practice for the 21st Century: Modernizing the International Standby Practices for Digital Transactions

Authors

Samuel P. Baycer

Abstract

Developing technology and digitalization have impacted nearly every aspect of our lives, including domestic finance and international trade.¹ Letters of credit, in some ways,² naturally lend themselves to an electronic transaction.³ Because of this, some experts note that letters of credit have "one foot in the world of electronic commerce and one foot in the world of paper documentation."⁴ However, there have not been any updates or supplements to the standard standby letter of credit rules since their issuance in 1999.⁵ While the current International Standby Practices (ISP98)⁶ does account for some electronic aspects in letter of credit transactions,⁷ much is left to be desired.⁸

First Page

407

Recommended Citation

Samuel P. Baycer, Updating Standby Letter of Credit Practice for the 21st Century: Modernizing the International Standby Practices for Digital Transactions, 62 Duq. L. Rev. 407 (2024).
Available at: https://dsc.duq.edu/dlr/vol62/iss2/11