Documentary Drafts Clause Samples
The 'Documentary Drafts' clause governs the use and handling of drafts or bills of exchange that are accompanied by shipping or other relevant documents in commercial transactions. Typically, this clause outlines the requirements for presenting such drafts, the necessary documentation to be attached (such as bills of lading or invoices), and the conditions under which payment or acceptance is to be made. By specifying these procedures, the clause ensures that payment is only made when the appropriate documents are provided, thereby protecting the interests of both buyers and sellers and reducing the risk of non-performance or fraud.
Documentary Drafts. Each Borrower agrees that the Swingline Lender shall have no obligation to examine or review any document provided with any Floorplan Swingline Loan Request including, but not limited to, documentary drafts drawn on a Borrower. The Swingline Lender may conclusively rely on any invoice, advice or other document from a Manufacturer, distributor or other seller of Floored Items as being genuine, authorized and correct in all respects. Each Borrower hereby relieves and releases the Swingline Lender from any and all responsibility and liability whatsoever arising out of, or in any way related to, the correctness, genuineness, sufficiency, validity or authenticity of any invoice, advice or other document or instrument presented to the Swingline Lender for, or in connection with, any payment or for the existence, quantity, quality, condition, identity, packing, value, title, delivery, or any other aspect or quality, of the property purported to be described in, or represented by any such invoice, advice or other document or instrument.