Document background
The Irrevocable At Sight Letter of Credit is a fundamental trade finance instrument used in international commerce when parties seek secure payment methods. It provides assurance to sellers that they will receive payment and to buyers that their payment will only be released upon receipt of specified documents proving proper shipment of goods. Under Philippine jurisdiction, these documents must comply with both international standards (UCP 600) and local regulations including the General Banking Law and BSP circulars. The document contains detailed specifications about the transaction, required documents, payment terms, and conditions that must be met for payment release. Its irrevocable nature means it cannot be modified or cancelled without agreement from all parties, while the 'at sight' feature ensures immediate payment upon successful document verification.
