Concerns Regarding the Ontario Court's Judgment in the Nareerux Case

Abstract

In this article, which was published in 128 Banking Law Journal 116 (2011), Professor Dolan contends that the Ontario Court of Appeal created havoc with letter of credit law in Ontario by imposing on letter of credit issuers serious burdens requiring the policing of the underlying commercial transaction between the applicant for the credit and the beneficiary, all in a fashion contrary to Canadian precedent and contrary to a healthy legal environment for letters of credit.