15(1)A contract falls within this paragraph if it relates only to the provision of a relevant financial facility and the conditions mentioned in sub-paragraph (2) below are satisfied.U.K.
(2)The conditions referred to in sub-paragraph (1) above are that—
(a)the person to whom the relevant financial facility is provided is an overseas customer;
(b)it is provided in order that he may comply with a legally binding obligation to receive a relevant supply of goods, or a supply of services, or both, from a person carrying on business F1. . .; and
[F2(c)the contract of insurance insures against risks arising from or in relation to either or both—
(i)credit,
(ii)suretyship.]
(3)For the purposes of this paragraph a relevant financial facility is—
(a)the making of an advance;
(b)the issue of a letter of credit or acceptance of a bill of exchange;
(c)the giving of a guarantee or bond; or
(d)any other similar transaction entered into in order to provide a customer with the means to pay, or a supplier with the right to call upon a third party for, the consideration for goods or services.
Textual Amendments
F1Words in Sch. 7A para. 15(2)(b) omitted (1.1.1997) by virtue of S.I. 1996/2955, art. 2
F2Sch. 7A para. 15(2)(c) substituted (1.12.2001) by S.I. 2001/3649, arts. 1, 346(11)