Study Of Court Injunction For L/C Fraud

Since China joined WTO, it has more and more economic communications with other nations in the world. The L/C (letter of credit) system can provide a better way to guarantee the gathering of the sellers, because it replaced the honor of merchant by the credit standing of bank. So it takes vantage ground in international balance. Meanwhile, the inherent defect in the credit transaction also leads to the increasing fraud in the L/C. It will bring great damages to both parties of the trade and the system of L/C itself.Hence the fraud exception principle was developed in practice as the comple -mentarity to the L/C independence principle in many countries, to reduce the fraud in the L/C. Generally speaking, it is implemented by the injunction issued by the court. Now the fraud in L/C could be more serious, but we have no law on the fraud and remedy in the L/C. So according to the status of judicial practice in our country and the injunction system in other nations, this thesis gives its own opinion of the perfection of the injunction system in our country through the method of comparison and positivism.