Sample (Maintenance) Irrevocable Letter of Credit - Lake County

SAMPLE (MAINTENANCE)IRREVOCABLE LETTER OF CREDITDate <strong>of</strong> Issue________________Issuing Bank's No.___________Beneficiary:Applicant:<strong>Lake</strong> <strong>County</strong> Board <strong>of</strong>(Developer)<strong>County</strong> Commissioners<strong>Lake</strong> <strong>County</strong> Administration BuildingAmount:___________________ in315 West Main Street United States FundsTavares, Florida 32778Expiry:(Date)__________________________<strong>Lake</strong> <strong>County</strong> Project Name andNumberWe hereby authorize you to draw on________________________________________(Bank, issuer name and branch address) by order <strong>of</strong> ___________________________(developer, applicant, customer) for the account <strong>of</strong> ____________________________(developer, applicant, customer) up to an aggregate amount, in United States Funds, <strong>of</strong>________________ available by your drafts at sight, accompanied by(1) A signed statement from the <strong>County</strong> Manager <strong>of</strong> <strong>Lake</strong> <strong>County</strong>, or an authorizedrepresentative, that the drawing is due to default in performance <strong>of</strong> certain obligations orfailure to pay sums, on the part <strong>of</strong> __________________________________ (developer),for maintenance <strong>of</strong> __________________________________________ (type <strong>of</strong>improvement) for the _____________________________________________ (name <strong>of</strong>subdivision) Plat.(2) The signed statement shall provide:a. The improvements were not completed as required;b. ______________________________ (developer) received notice <strong>of</strong> the lack <strong>of</strong>completion or particular deficiencies two (2) weeks prior to this demand for payment;Public Works DepartmentConstruction Plan and Final Plat Review ProcessesFunding and Production Division Effective March, 2009Page 22 <strong>of</strong> 48

c. The improvements were not completed or deficiencies corrected prior to submission <strong>of</strong>this drawing.Drafts must be drawn and negotiated no later than ______________ (expiration date).Drafts must bear the clause: "Drawn under <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> No. _______________ <strong>of</strong>____________________________________ (Bank name), dated __________________."This <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> shall expire after two (2) years. In the event we intend to terminatethis <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> prior to its expiration date, we shall provide the <strong>County</strong> Managerwritten notice, return receipt requested, <strong>of</strong> our intent to terminate the credit hereinextended, which notice shall be provided at least thirty (30) days prior to the expirationdate. Notice to <strong>Lake</strong> <strong>County</strong> that this <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> will expire prior to performance <strong>of</strong>the DEVELOPER'S obligations shall be deemed a default.This <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> sets forth in full the terms <strong>of</strong> our undertaking, and such undertakingshall not in any way be modified, amended, or amplified by reference to any documents,instrument, or agreement referred to herein or in which this <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> is referred toor this <strong>Letter</strong> <strong>of</strong> <strong>Credit</strong> relates, and any such reference shall not be deemed to incorporateherein by reference any document, instrument, or agreement.We hereby agree with the drawers, endorsers, and bona fide holders <strong>of</strong> all drafts drawnunder and in compliance with the terms <strong>of</strong> this credit, that such drafts will be duly honoredupon presentation to the drawee.The installation <strong>of</strong> improvements by the ______________________________________________________________(developer), and acceptance by <strong>Lake</strong><strong>County</strong> <strong>of</strong> all improvements shall be a release <strong>of</strong> all obligations under this letter <strong>of</strong> credit.This <strong>Credit</strong> is subject to the "Uniform Customs and Practice for Documentary <strong>Credit</strong>s"(1983 revision), International Chamber <strong>of</strong> Commerce Publication No. 400 and to theprovisions <strong>of</strong> Florida law. If a conflict between the Uniform Customs and Practice forDocumentary <strong>Credit</strong>s and Florida law should arise, Florida law shall prevail. If a conflictbetween the law <strong>of</strong> another state or country and Florida law should arise, Florida law shallprevail.________________________________Authorized SignaturePublic Works DepartmentConstruction Plan and Final Plat Review ProcessesFunding and Production Division Effective March, 2009Page 23 <strong>of</strong> 48