Courteen Seed Co. v. Hong Kong & Shanghai Banking Corp.

Plaintiff sues to recover more than $300,000 damages through loss on the sale of alfalfa seed which it purchased at Vladivostok in Siberian Russia for resale to customers. Union Trust Company of Chicago had issued a documentary letter of credit in favor of plaintiff’s agent in Siberia, Adolph Heiman, for $600,000 and defendant had undertaken the business of valuing the credit at its branch bank in "Vladivostok. The written letter of credit had an expiry date of February 1, 1920. By its terms “ shipments must be completed and drafts drawn on or before February 1st, 1920.” The defendant after…