AKINSANYA V UBA- (1986) 4 NWLR Part 35 page 273.
PRINCIPLE OF LAW- THE USE OF DOCUMENTARY CREDITS
In this case, the Supreme Court considered the extent of the liability and obligation of an issuing bank to a customer in relation to documentary credits. In arriving at its decision, the court considered the provisions of Articles 8 and 9 of the 1974 Uniform Customs Practice for Documentary Credit (UCP) and the duties imposed upon issuing banks in the UCP. The court held that they (the issuing banks) are protected under Article 8 of UCP and are not required to look outside the documents presented to them in a transaction involving the obtainment of letters of credit by a customer. The court further opined that issuing banks have no responsibility beyond being satisfied that the information ex facie in the documents presented for payment of letters of credit are correct and that Article 9 of the UCP provides an issuing bank with a conclusive defence against any such claim by a customer.