BIMCO Develops ‘Refund Guarantee’ To Tackle Legal Uncertainties

BIMCO is developing a standard refund guarantee for shipbuilding contracts, including the SAJ and Chinese forms.
The refund guarantee aims to provide an instrument which removes legal uncertainties.
Refund guarantees play a vital role in shipbuilding projects by securing the large advance payments made by the buyer during the construction of the ship.
The focus of our work is to draft a guarantee which will be accepted by the issuing banks, builders and buyers and thus be used as a standard...