Performance Standby Letter of Credit
Performance Standby Letter of Credit
Date: October 15, 2050
To Whom It May Concern,
We are pleased to provide this Performance Standby Letter of Credit on behalf of Emie Howell in favor of Venturex. This letter serves as a financial guarantee for the obligation of Emie Howell under the contract/agreement dated September 1, 2050, with Venturex.
This letter of credit is available for an amount not exceeding USD 500,000 (Five Hundred Thousand United States Dollars), and it is secured to ensure the satisfactory performance and execution of the obligations as stipulated in the aforementioned contract/agreement.
The conditions for drawing this credit are outlined as follows:
-
A written statement from Venturex indicating that Emie Howell has failed to perform the obligations under the contract/agreement.
-
Submit the original Performance Standby Letter of Credit for endorsement.
The expiration date for this Standby Letter of Credit is October 15, 2052, subject to extension upon mutual agreement. All drafts drawn under this credit must be marked as "Drawn under ABC Bank Standby Letter of Credit No. 123456 dated October 15, 2050." This credit is subject to the International Standby Practices (ISP98), ICC Publication No. 590.
We undertake to honor any draft(s) drawn under and in compliance with the terms of this Standby Letter of Credit upon presentation at our office at 123 Main Street, Albuquerque, NM 87101 on or before the expiration date. We engage with you that all drafts drawn and presented to us under and in compliance with the terms of this Standby Letter of Credit will be duly honored upon presentation and delivery of documents as specified above.
This Standby Letter of Credit is irrevocable and shall be governed by the laws of New Mexico. Should you require any further information or clarification, please do not hesitate to contact us at (505) 555-0199.
Thank you for your attention to this matter.
Sincerely,
[Your Name]
Manager of Financial Services
[Your Company Name]
