standby letter of credit

A letter of credit used to guarantee either a monetary or a nonmonetary obligation (such as the performance of construction work), whereby the issuing bank agrees to pay the beneficiary if the bank customer defaults on its obligation. — Abbr. SL/C.

— Also termed guaranty letter of credit. [Cases: Banks and Banking 191.10. C.J.S. Bills and Notes; Letters of Credit §§ 341–366, 368–370, 372–376.]

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词条贡献者

译者Jenny，毕业于英国顶尖的高级翻译学院，擅长翻译各种与ERISA 诉讼相关的法律文件。