In the Matter of Coral Petroleum, Inc., Debtor. Tradax Petroleum American, Inc. v. Coral Petroleum, Inc.

REAYLEY, Circuit Judge:

Tradax Petroleum America, Inc., the beneficiary under an irrevocable standby letter of credit, appeals from the district court’s judgment in favor of the issuing bank, French American Banking Corp. (“FABC”), denying reformation or construction of the letter of credit. We affirm.

I

In March 1983, Tradax, an oil trading company, contracted to sell to Coral Petroleum, Inc. 31,000 barrels of West Texas Intermediate crude oil for a price of $880,-400. The contract imposed upon Coral the obligation of opening a standby letter of credit “in a form and from a bank acceptable” to…