On The Demand Under Independent Guarantee

Independent guarantee is a new-type guarantee,which is originated from international commercial practice.It has been playing a vital role in international trade,depending on its effective and convenient mechanism of demand.Independent guarantee is independent from the principal contract,when receiving the appropriate request for payment and demand lodged by the beneficiary,the guarantor must fulfill the duty of payment,no matter whether the principal debtor has defaulted under the contract or not.The demand made by beneficiary must be lodged within the term of validity,or cannot trigger the guarantee.Consequently,the demand made by beneficiary is an extremely important step in independent guarantee,which is the only way to trigger the payment duty of the guarantor.Combined with international rule and decisions made by domestic and foreign courts,this paper delves into the demand under independent guarantee and puts forward some suggestions to perfect the independent guarantee legal system in our country.Besides introduction and conclusion,this paper consists of four chapters: The first chapter elaborates the basic principles of the demand,mainly about the definition,characteristics and the operating mechanism of independent guarantee and demand.The second chapter,combined with international rule,discusses the subject of the guarantee,who is entitled to call,and the effect of transfer of the guarantee.The third chapter,combined with international rules,examines the substantive requirements of the demand.Firstly,it examines the address,object and period of the submit of demand;secondly it examines the formation and way;thirdly it examines the proper types and content of the document;then it analyzes the Provisions of the Supreme People's Court on Several Issues Relating to Trial of Independent Letter of Guarantee Dispute Cases and makes some suggestions.The fourth chapter,by summarizing the demand system in international rules and judicial practices,it analyzes and improving the Provisions of the Supreme People's Court on Several Issues Relating to Trial of Independent Letter of Guarantee Dispute Cases and makes some suggestions combined with the cases in our country.