International Trade Finance and Instruments: Operational: Documentation and Legal Issues

• The responsibilities and legal relationships of the various parties
• The comparative merits and drawbacks of standby and demand guarantees
• When courts will intervene to prevent payment of guarantees
• How to avoid operational problems
• How to avoid problems of applicable law
• How big-ticket guarantees are syndicated
• The benefits and drawbacks of using the new uniform rules for demand

CONTENT

Typical Financing Structures in use in the Trade Finance Market:

- Pre-export financing

- Borrowing base

- Advance payment (with and without risk-sharing)

- Reserve base lending

- Receivables sale

- Participations (funded and risk)

- Warehouse receipts finance

- Securitization.

Conflicts of Law Issues in Trade Finance:

- Which are the different legal systems which govern or can affect the different parts of a trade finance transaction

- Choice of governing law and jurisdiction

- How can these legal risks be managed: legal due diligence; legal opinions.

Consideration of the different types of security assets and security devices which are commonly used in trade finance transactions:

- Goods in warehouses

- Goods being transported

- Assignment of contract rights

- Receivables

- Bank accounts

- Mandate letter

- Term sheet

- Facility agreement

- Security documents

- Collateral management agreement

- Intercreditor arrangements.

- Indemnities

- Corporate guarantees

- Insurance

- comfort letters

- Standby letters of credit.

- The distinction between primary and secondary liabilities

- The legal requirements for guarantees.

- bid/tender bonds

- advance payment guarantees

- Retention money bonds

- Performance bonds.

- Demand guarantees

- Uniform Rules for Demand Guarantees (URDG).

- Competing positions of the parties involved

- Drafting issues

- Financing structures

- Risk mitigation.

TRAINING METHODOLOGY

The training methodology combines lectures, discussions, group exercises and illustrations. Participants will gain both theoretical and practical knowledge of the topics. The emphasis is on the practical application of the topics and as a result participant will go back to the workplace with both the ability and the confidence to apply the techniques learned to their duties.

The training is available in the following locations:

NIGERIA: $5500

RWANDA: $7500

UK: $8500

USA: $8500