On 24.05.2016 ICC Banking Commission Executive Committee Issues Paper_Notes on the Principle of Strict Compliance
Exactly how strict must compliance be and can it be defined?
The issue of 'strict compliance' has continually surfaced with respect to the examination of documents presented under documentary credits. Over the last couple of years, several discussions have been generated on Internet forums and in trade finance journals in respect of the interpretation and application of this doctrine. This has also been reflected in the challenging discussions behind numerous ICC Official Opinions.
With this in mind, the Executive Committee of the Banking Commission tasked David Meynell, Senior Technical Advisor, with drafting a paper to reflect the issues. This paper represents the position of the Executive Committee.