Formal tender (si se trata de obras públicas) bank guaranty

Dic. Larousse Grolier, García-Pelayo y Gross
Dic. Terminológico E.L. Franquesa y E.L. Riera

Saludos, Sery

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Note added at 2002-05-19 01:23:31 (GMT)
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The acceptance of this tender includes the acceptance of the following terms ... writing by us. Unless previously withdrawn our tender is open for acceptance within the period.

BANK GUARANTEES
for officially supported exports


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Bank guarantees are used to secure an obligor\'s payment to the creditor. They are written promises by the bank to satisfy the creditor in accordance with the terms of the guarantee in the event that the obligor fails to honor the specified obligations.



A direct bank guarantee by the export bank (i.e., one not guaranteed by another financial institution) is issued on the request of a principal for a guarantee from the export bank. The guarantee is a written promise made by the export bank in the letter of guarantee to satisfy the beneficiary on first request, without any need for court intervention, without protest and with recourse to the principal up to the sum specified if the principal fails to meet the specified obligation.



An indirect bank guarantee is issued where the beneficiary - a foreign importer, often a state organization - is located in a country whose statutes permit only a guarantee from a bank licensed locally. Upon written request by the exporter, the export bank applies for a guarantee from the foreign bank, provides the details for the guarantee to the beneficiary\'s bank, and secures it with its own counter-guarantee.

The CEB provides primarily non-payment guarantees, such as:

Bid Bonds
a guarantee that insures the obligation of a winning bidder to enter into a contract
The bidder, under the terms of the tender, deposits a bond - in the form of a bank guarantee to the benefit of the tender organizer - which provides for compensation to the organizer should the winning bidder fail to sign a contract or fail to honor the bid conditions when entering into the contract.

Performance Bond
insures the obligation of the bidder to duly perform the contact
With a performance bond, the bank can provide a guarantee during the term of the delivery or it can additionally cover the period of technical warranty of the goods supplied. It may be used to insure the supplier\'s compliance with the contract terms or simply to guarantee compliance with specific technical standards set out in the contract. Performance from this type of guarantee involves reimbursement to the importer of an agreed portion of the purchase price.

Advance Payment Guarantee
insures the obligation of the seller to return the advance payment in case of failure to supply the goods on time or in their entirety
The bank agrees to return all or part of an advance payment made to the exporter by the importer (a deposit of part of the purchase price provided prior to the signing of a contract) in the event that the exporter fails to honor the contract terms in their entirety or in part and the exporter does not itself return the advance. CEB agrees to return the deposit to the importer along with interest imputed for the period from the date of the advance to the date of return, if applicable. The guarantee agreement may contain a clause that reduces the advance proportionately as the contract is perfo