Document background
The Conditional Letter of Credit is a crucial trade finance instrument widely used in international commerce. Under Singapore law, it combines the security of a bank guarantee with specific conditional requirements for payment release. This document type is particularly relevant when parties seek a secure payment method while ensuring specific conditions are met before funds are released. The Conditional Letter of Credit includes detailed terms about document requirements, payment conditions, and compliance with both UCP 600 and Singapore banking regulations. It's especially valuable in complex international transactions where multiple parties and specific performance requirements are involved.
