Willapa Trading Co. v. Muscanto, Inc.

—Willapa Trading Co., Inc., appeals judgments entered by the King County Superior Court in March 1984 and February 1985. We modify and affirm.

In 1982, Willapa contracted to sell logs to a purchaser in China, the Tung Shing Trading (H.K.) Company. To pay for the logs and the charter of a vessel for their transport to China, Tung Shing opened a letter of credit in favor of Willapa with a United States bank.

Willapa purchased the logs from Muscanto, Inc., who chartered the vessel, MV Vienna Wood, from Sammisa Corp. Willapa, in turn, subchartered the vessel, and to pay for the logs and the…