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(e) Discouraging detailed credits
Article a) of the UCP stipulates that instructions for the issuance or an amendment of a credit must be complete and precise.
Article 5 also discourages the inclusion of any descriptive condition about the goods and services. That is, the applicants have to state the precise documents in the credit against which the payments have to be made, and any conditions without actual support of documents will be ignored by the banks
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Further, in order to guard against confusion and misunderstanding, banks discourage any attempt to include excessive detail in the creditor any amendment thereto. When dealing with Article 5 of UCP 500, it seemed that the drafting group actually intended wording such as banks should not issue credits, or banks should reject such instructions if a letter of credit instruction is too detailed. However, owing to the fear of violating local laws that require the issuance of detailed instructions, credits or amendments this article has adopted a wording that sounds mild but yet has basically the same effect. The literal interpretation of this sentence is that the bank will still have the final say as to whether they will reject the issuance of a detailed instruction, creditor amendment. The only difference here is that a bank might have been given the opportunity to accept an instruction if the fee from the issuance is high enough for the bank to consider taking the risk.
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Article b) of UCP 500.
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del Busto, op. cit, at 11.

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(f)
Bank obligations upon detecting a discrepancy
Under b) of the UCC and Articled) of the UCP, an issuer must give prompt notice to beneficiaries of defects in documents. Old common law principles regarding this rule were however much stricter in terms of the security a bill of lading can provide. In International Banking Corporation v. Irving National
Bank, for example, the bank had accepted bills of lading for general merchandise contents unknown instead of a bill of lading for Manila hemp called for by the credit. Later on it was discovered that only part of the consignment consisted of Manila hemp, and the bank was entitled to indemnify against its applicant to the extent that there actually was Manila hemp in the consignment This case indicated that a bank had to follow the instruction of the applicant and accept the documents which strictly comply with the terms and conditions of the letter of credit issued by the bank. As indicated in sub-Article b) of the UCP, the confirming bank commits itself to honour the beneficiary's documents provided they comply with the terms and conditions of the letter of credit. In case discrepancies are found, the first responsibility of the confirming bank is to notify the beneficiary of discrepancies found, assuming the documents are presented directly by the beneficiary. If the discrepancies can be corrected, such as wrong description of goods on invoice, the beneficiary will correct those discrepancies
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International Banking Corporation v. Irving National Bank, 283 F. 103; 1922 US. App, LEXIS 2249; 274 F. 122; 1921 US. Dist, LEXIS 1145.

and represent them to the confirming bank. If the discrepancies cannot be corrected, such as late shipment and late presentation, the beneficiary must provide instruction to the confirming bank how he wishes the documents to be handled — to send them to the issuing bank for payment, or cable the issuing bank for authority to pay despite the discrepancies. A confirming bank should not take it upon itself to accept discrepant documents. If it does, it will betaking a risk of the documents being rejected by the issuing bank. By the same token, an issuing bank should not take it upon itself to accept discrepant documents. If it does, it will betaking a risk of not being reimbursed by the applicant. The applicants agree to reimburse the issuing bank only if conforming documents are presented. The definite undertaking for the issuing bank and confirming bank to pay becomes null and void where the beneficiary does not comply with the terms and conditions of the letter of credit, by presenting discrepant documents.

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