Cengage Advantage Books: Law for Business 18th Edition by John Ashcroft ,Janet Ashcroft

تمرين 14

Carter Petroleum Products Inc. sold fuel products to Highway 210. LLC. Brotherhood Bank Trust Company issued a letter of credit, No. 2001-270, for $175,000 available by Carter's draft at "sight" on the account of Highway 210. It stated "all draft(s) drawn under and in compliance with the terms of this credit will be duly honored...if presented at this office in Shawnee, KS, no later than June 26" Hal O'Donnell, Carter's credit manager, delivered a sight draft to the bank for payment on Tune 26. The draft stated: "Pursuant to the terms stated in the Letter of Credit # 2001-270...Carter, hereby exercises its op Credit in the against said Brotherhood Bank and Trust Company's Letter of Credit in the amount of $175,000 due to non-payment of invoices." O'Donnell arrived at the bank just after 5 p.m., and the lobby was locked. After O'Donnell knocked on the door, he was admitted to the lobby. He indicated he was there to see Ward Kerby, the assistant vice president. O'Donnell handed Kerby the draft request, letter of credit, and unpaid Carter invoices to Highway 210. The draft request was stamped received on June 26. The drive-through window at the bank was still open. The bank dishonored Carter's draft request because it was presented after regular banking hours on the date the letter of credit expired. Carter sued the bank. Was the presentment proper?