Our Blog
2023-11-09 : 16:25

Uniform Demand Guarantee Rules in Ethiopia Specific to Banks: Call for Application of ICC URDG 758 in Ethiopian Banking

Demand Guarantee is a vital financial instrument that ensures the trade between parties in various sectors. It is an assurance from the bank to the beneficiary that the obligation of a third party – usually the applicant – will be fulfilled under the terms and conditions of the guarantee.In Ethiopia, banks follow ICC URDG 758 (International Chamber of Commerce Uniform Rules for Demand Guarantee) guidelines to issue demand guarantees. Albeit the fact that Ethiopia is not signatory to the New York Convention, UNITED NATIONS CONVENTION ON INDEPENDENT GUARANTEES AND STAND-BY LETTERS OF CREDIT (1996). In essence, URDG 758 is a document prepared by the International Chamber of Commerce (ICC) to standardize the practices of issuing demand guarantees worldwide.  The Federal Supreme Court Cassation Benches’ decision seem to juxtaposition or unduly upholding the application of the provisions of the civil code of Ethiopia of surety on Demand Guarantees.URDG 758 offers clarity on what can be demanded by the beneficiary, the conditions that must be met by the applicant, and the obligations of the bank in guaranteeing the transaction. As a result, it provides a predictable and reliable framework for international trade. Banks in Ethiopia are the major players in demand guarantee services. They provide various forms of demand guarantees such as bid bonds, performance guarantees, advance payment guarantees, and others. Banks issuing demand guarantees should follow the Ethiopian Bankers Association guidelines, if any or develop one for uniformity, for Demand Guarantee operations. To conclude, demand guarantees play a significant role in ensuring the smooth operation of international trade. Ethiopia, like many other countries, is following URDG 758 guidelines to regulate the issuance of demand guarantees. Banks that follow these guidelines ensure predictable, reliable, and effective trade services to their clients. In addition to following URDG 758 guidelines, it is important for banks in Ethiopia to provide guarantees that are specific to their clients' needs. This means that the bank must understand the nature of the transaction and tailor the guarantee accordingly. For example, a bid bond for a construction project may have different requirements than an advance payment guarantee for importing goods. Furthermore, demand guarantees should be backed by sufficient collateral to ensure that the bank can fulfill its obligation in case of default by the applicant. This is particularly important in Ethiopia where there is a high risk of non-payment due to economic and political instability.Overall, demand guarantees are crucial for international trade and banks in Ethiopia must ensure that they provide reliable and effective services to their clients while adhering to URDG 758 guidelines and local regulations.Moreover, banks in Ethiopia should also consider the duration of the guarantee when issuing demand guarantees. Depending on the nature of the transaction, a longer or shorter duration may be required. It is important for banks to communicate clearly with their clients regarding the duration of the guarantee and any potential risks involved. In addition, banks should also consider offering value-added services such as advisory services to their clients to help them understand the risks associated with international trade and how to mitigate them. This can include providing information on foreign exchange rates, country risk assessments, and legal requirements.Finally, it is essential for banks in Ethiopia to maintain a high level of professionalism and transparency when dealing with demand guarantees. Clients should be provided with clear and concise information about fees, charges, and other terms and conditions. Any disputes that arise should be resolved fairly and efficiently.In conclusion, while URDG 758 provides a standard framework for issuing demand guarantees worldwide, banks in Ethiopia must also consider local regulations and tailor their services to meet the specific needs of their clients. By doing so, they can provide reliable and effective trade services that support international commerce while minimizing risk for all parties involved.Moreover, banks in Ethiopia should ensure that their demand guarantee services are easily accessible to all clients. This means providing online platforms for application and tracking of demand guarantees, as well as offering support through phone and email. By making the process more convenient and efficient, banks can attract more clients and improve customer satisfaction. Another important aspect that banks in Ethiopia should consider is the cost of demand guarantee services. While it is important to maintain profitability, excessive fees and charges can deter clients from using these services. Banks should strive to offer competitive pricing while still ensuring that they have sufficient collateral to back up their guarantees.In addition, banks should also invest in technology and training to improve the efficiency of their demand guarantee operations. This includes implementing automated systems for processing applications and reducing manual errors, as well as providing regular training for staff on best practices and industry developments.Overall, by providing tailored, reliable, and efficient demand guarantee services that adhere to URDG 758 guidelines and local regulations, banks in Ethiopia can play a critical role in supporting international trade and promoting economic growth.Furthermore, it is crucial for banks to have a clear understanding of the underlying transaction and the associated risks when issuing demand guarantees. This requires thorough due diligence on the applicant's financial standing and creditworthiness, as well as an assessment of the political and economic environment in which the transaction takes place. Banks should also consider obtaining external advice from legal and financial experts to ensure that they are adequately protected against potential risks. In addition, banks should explore new opportunities to expand their demand guarantee services beyond traditional sectors such as construction and import/export. For instance, they could offer guarantees for emerging industries such as renewable energy or technology startups. By doing so, they can diversify their portfolio and attract a wider range of clients.Finally, banks should prioritize customer service by providing timely and accurate information to clients throughout the demand guarantee process. This includes keeping clients informed about the status of their applications, responding promptly to inquiries or concerns, and providing regular updates on any changes to terms or conditions.In conclusion, demand guarantees are an essential tool for facilitating international trade, but their effectiveness depends on the quality of services provided by banks in Ethiopia. By adhering to URDG 758 guidelines, tailoring their services to meet specific client needs, investing in technology and training, and prioritizing customer service, banks can play a critical role in supporting economic growth while minimizing risk for all parties involved.

2023-10-04 : 11:12

ለጥንቃቄ እዳን መልሶ ማዋቀርን በተመለከተ በኢትዮጵያ የንግድ ሕግ

በጥቂቱ ዝርዝር ተግባራት ልዩ ሁኔታዎችበአዋጅ ቁጥር 1243/2013 አንቀጽ 588(2) ላይ እንደተመለከተው ለጥንቃቄ ዕዳን መልሶ የማዋቀር ሥነ ሥርዓት የሚከፈተበት ሌሎች የሚመለከታቸው ገንዘብ ጠያቂዎች በሙሉ ድምጽ የሚፈቅዱ ከሆነ፤ በባለዕዳው ላይ እንደአሁን ባለ ወቅት የገጠመውን የፋይናንስ ችግር  በተከሰቱ ያልታሰቡ ኹነቶች ምክንያት ተስፋ የሚጣልባቸው ተበዳሪዎች ውልን መሰረት ባደረገ መልኩ በጊዜ ዕዳቸውን ቀልጣፋ እና ውጤታማ በሆነ መልኩ መልሰው እንዲያዋቅሩ እና ሥራቸውን እንዲቀጥሉ ወይም የንግድ ሥራ እንቅስቃሴው በመንቀሳቀስ ላይ እንዳለ የንግድ ሥራ ለመሸጥ መዘጋጀት እንዲችሉ በማድረግ አሁናዊ የኢኮኖሚ ሁኔታቸውን ረተው እንዲወጡ ማስቻል ነው። ለአፈጻጸም ይረዳም ዘነድ የተዋናይ ሚናን በመለየት ዝርዝር ተግራባራቸውን መግለጹ ለሂደቱና ለፍትህ ስራዓቱ ብሎም ለንግድ ማኅበረሰቡ የራሱ የሆነ አስተዋጽዖ ይኖረዋል በሚል በኢትዮጵያ የመጀመሪያ የሆነው የሐበሻ የጥብቅና አገልግሎት ኃ.የተ.የሽ.ማኅበር ይህንን ጽሑፍ አቅርቧል። መልካም ንባብ።1. የፌዴራል ከፍተኛ ፍርድ ቤት1.1. ክፍያ1.2. በጊዜ ረገድ2. የሥነ ስርዓቱ ተጠቃሚ / ባለዕዳ3. ለጥንቃቄ እዳን የማዋቀር ዘርፍ ባለሞያ/ዎች/3.1. ግዴታዎች3.2. ሥልጣን፡4. ባለገንዘብ/ቦች/5. ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዕቅድ6. በዕቅዱ ሊካተቱ የሚችሉ7. የእቅዱ መጽደቅየፌዴራል ከፍተኛ ፍርድ ቤት• ለጥንቃቄ እዳን መልሶ የማዋቀር ሥነ ስርዓትን ለመክፈት ስልጣን የተሰጠው ለፌዴራል ከፍተኛ ፍርድ ቤት ስለመሆኑ በን.ሕ.ቁ 600 ላይ ተመልክቷል። እንዲሁም በን.ሕ.ቁ 602(2) መሰረት ለቅድመ ጥንቃቄ ዕዳን መልሶ የማዋቀር ሥነ ሥርዓት፣ እንዲከፈት የሚሰጥ ፍርድ ዓለም አቀፋዊ ተፈጻሚነት አለው።• በን.ሕ.591 (2) የክፍያ መቋረጥ ጋር በተገናኘ ፍርድ ቤቱ በራሱ ወይም በሌላ በተመለከቱ አካላት አቤቱታ ሲቀርብለት ውሳኔ የባለዕዳውን ጉዳዮች እና እንቅስቃሴዎች የሚመረምር መርማሪ ሊሾም ይችላል፤• ለጥንቃቄ ዕዳን መልሶ የማዋቀር ሥነ ሥርዓትን የከፈተው ፍርድ ቤት ከእነዚህ ሥነ ሥርዓቶች በቀጥታ በሚመነጩ እና ከእነሱ ጋር በቅርበት በሚገናኙ የሚከተሉትን ጉዳዮች እንደሚመለከቱት ባሉ ክሶች ላይ ሥልጣን አለው፡- ሀ) መልሶ የማዋቀር እና መልሶ የማደራጀት ዕቅድ፣ ለ) በንግድ ሥራ እንቅስቃሴ ላይ ያለን ድርጅት በመንቀሳቀስ ላይ እንዳለ እንዲሸጥ ማጽደቅ፣ ሐ) በሂደት ላይ ያሉ ውሎች፣ መ) የተቆጣጣሪ ዳኛዎች፣ የባለዕዳው ንብረት ጠባቂዎች፣ ተቆጣጣሪዎች እና ዳይሬክተሮች ኃላፊነት፣ ሠ) የክፍያ ጥያቄዎች አቀራረብ፣ ማረጋገጥ እና አቀባበል፣ ረ) ከንብረት የሚመነጩ መብቶች፣ ሰ) ማቻቻል ሸ) የንብረቶች መሸጥ ወይም መተላለፍ፣ ቀ) የክፍያ ጥያቄዎች ቅደም ተከተል፣ በ) ከሽያጭ የተገኘ ገንዘብ ክፍፍል፣ ተ) የድርጊቶች ፈራሽ መደረግ፣ ቸ) ውሎችን ማጽናት እና ተፈጻሚነት፣ ኀ) የባለዕዳው ነጻ መውጣት፣ ነ) የሥነ ሥርዓቱ መዘጋት።• በን.ሕ.ቁ 619 መሰረት ለጥንቃቄ እዳን መልሶ ማዋቀር ባለሞያ ለመሾም ስልጣን የተሰጠው ሲሆን በአንቀጽ 620 መሰረት በባለገንዘቦች ጥያቄ እና በ2/3ኛ ባለገንዘቦች ድጋፍ ሌላ ሞያተኛ ለመተካት ስልጣን ተሰጥቶታል።1.1. ክፍያ• ለሚሾሙት ለጥንቃቄ እዳን የማዋቀር ዘርፍ ባለሞያዎች ክፍያ በባለዕዳዋ/ው እና በዘርፉ ባለሞያዎች መካከል በሚደረግ ንግግር የሚወሰን ሲሆን ዋጋው መጠን በፍርድ ቤት መጽደቅ አለበት።1.2. በጊዜ ረገድ• በአንቀጽ 618 መሰረት የሥነ ሥርዓቱ የቆይታ ጊዜ አስመልክቶ በንዑስ አንቀጽ 1 ላይ  ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዕቅዱ ከሚመለከታቸው ገንዘብ ጠያቂዎች ጋር በአራት ወራት ውስጥ መጠናቀቅ ይኖርበታል፤• በዚህ ጊዜ ያላለቀ እንደሆነም ተጨማሪ ጊዜ ሊሰጥ እንደሚችል እና ይህ ጊዜ ከ8 ወር ሊበልጥ አይችልም።2. የሥነ ስርዓቱ ተጠቃሚ / ባለዕዳ• ዕዳን መልሶ የማዋቀር ዕቅድ ማዘጋጀት፣ በሂደቱ ከጥንቃቄ እዳን ማዋቀር ባለሞያዎችን ድጋፍ መጠየቅ እና ማግኘት (አንቀጽ 627)• የንግድ ስራውን በይዞታ ስራ አድርጎ መምራት እና ገደብ ከተጣለበት ስልጣን ውጭ በግል ውሳኔ መስጠት፤• አስቀድመው ነጠላ እገዳ ከተላለፈባቸው ዕዳዎች በስተቀር ባለዕዳው በመደበኛ የሥራ ሂደት ውስጥ የሚከሰቱ ዕዳዎችን በሙሉ ባለዕዳዋ/ው መክፈል ይኖርባታል፤• መደበኛ እዳ ክፍያ ማቋረጥ ለእንደገና ማደራጀት ወይም ኪሳራ ስርዓት ይዳርጋል።/ን.ሕ.ቁ 626 እና 702/3. ለጥንቃቄ እዳን የማዋቀር ዘርፍ ባለሞያ/ዎች/• ለጥንቃቄ ዕዳን መልሶ የማዋቀር ስርዓት እንዲከፈት በፍርድ ቤት ውሳኔ መሰጠቱን ተከትሎ ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዘርፍ ባለሞያ በፌዴራል ከፍተኛ ፍርድ ቤት ፕሬዚዳንት ይሾማል/ሉ። • በን.ሕ.ቁ  619 መሰረት መሰረት ማንኛውም ገንዘብ ጠያቂ ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዘርፍ ባለሞያው እንዲተካ አቤቱታ ሊያቀርብ ይችላል፤• በን.ሕ.ቁ 592(2) የሚሾም መርማሪ ቢኖር ሹመኛውን የማገዝ ግዴታ አለበት።• በን.ሕ.ቁ 599 መሰረት መረጃ ለባለገንዘቦች በጽሁፍ ሲጠየቁ ለጥያቄው አጥጋቢ ምላሽ የመስጠት ግዴታ አለባቸው። ሆኖም ጥያቄ ምክንያታዊ ካልሆነ ወይም ከመጠን በላይ ጫና የሚያሳድር ከሆነ ብቻ ያለመቀበል ስልጣን አላቸው።• ከታች ያሉ ዝርዝር ግዴታዎች በን.ሕ.ቁ 621 ላይ ተመልክተዋል3.1. ግዴታዎች • ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዘርፍ ባለሞያው ራሱን ችሎ በመንሳቀስ የሚከተሉትን እንዲሁም ሌሎች ተግባራትን ያከናውናል፡-ሀ) ለጥንቃቄ ዕዳን መልሶ በማዋቀር ሥነ ሥርዓቱ ውስጥ የሚሳተፉትን ገንዘብ ጠያቂዎች መወሰን፣ለ) መልሶ የማዋቀር ዕቅድ በማርቀቅ እና በመደራደር ረገድ ባለዕዳውን እና ገንዘብ ጠያቂዎቹን ማገዝ፣ ሐ) የገንዘብ ጠያቂዎቹን ስብሰባዎች መጥራት እና በሊቀ መንበርነት መምራት፣ መ) ዕዳን መልሶ በማዋቀር ዕቅድ ላይ ድርድር በሚደረግበት ወቅት የባለዕዳውን እንቅስቃሴዎች መቆጣጠር እና ድርድሩ የሚገኝበትን ደረጃ በተመለከተ በየጊዜው ለፍርድ ቤቱ ሪፖርት ማቅረብ፣ ሠ) ዕዳን መልሶ የማዋቀር ዕቅዱን ለፍርድ ቤቱ አቅርቦ ማስጸደቅ፣ እና ረ) እንደሁኔታው በንግድ ሥራ እንቅስቃሴ ላይ ያለን ድርጅት በመንቀሳቀስ ላይ እንዳለ እንዲሸጥ ማዘጋጀት፤3.2. ሥልጣን፡• የባለዕዳዋ/ውን መሰረታዊ የሆኑ ንብረቶች ሽያጭና ግዥ ማጽደቅ /ን.ሕ.ቁ 624 አብዛኛውን ንብረት እንደመሸጥ እና የዋስትና መብት እንደመፍጠር ያሉ ከመደበኛ የሥራ ሂደት ውጭ የሆኑ ማናቸውም ውሳኔዎች ዕዳን መልሶ በማዋቀር ዘርፍ ባለሞያው አስቀድመው መጽደቅ እንዳለባቸው ተመልክቷል/ሀ) ባለዕዳው ወይም ማንኛውም ሦስተኛ ወገን ማንኛውንም አስፈላጊ የሆነ ተጨማሪ የገንዘብ ወይም የሒሳብ መረጃ እንዲያቀርቡ ትዕዛዝ መስጠት፣ ለ) የባለዕዳውን የገንዘብ ሁኔታ እና የንግድ ሥራ ዕቅድ ኦዲት እንዲያደርጉ ጭምር ገለልተኛ ባለሞያዎችን መሾም።4. ባለገንዘብ/ቦች/• አንቀጽ 597 መሰረት ይህ ስነስርዓት አጠቃላይ መርህ የገንዘብ ጠያቂዎችን ትክክለኛ ጥቅም ማስጠበቅ ነው፤ በዚህ አንቀጽ ንዑስ አንቀጽ 2 መሰረት ለጥንቃቄ ዕዳን መልሶ በማዋቀር ሥነ ሥርዓት ውስጥ መልሶ የማዋቀር ዕቅዱ በሁሉም በሚመለከታቸው ገንዘብ ጠያቂዎች ሙሉ ድምጽ መጽደቅ እንዳለበት ከመደንገጉ በላይ በአንቀጽ 627(1) መሰረት በባለዕዳዋ/ው የተዘጋጀው ለጥንቃቄ እዳን መልሶ ማዋቀር ዕቅዱን ለማሻሻል ጥያቄ የማቅረብ እና የአጸፋ-ሀሳብ የማቅረብ መብት አላቸው፤• አንቀጽ 598 የገንዘብ ጠያቂዎች ተሳትፎ ገንዘብ ጠያቂዎች በሥነ ሥርዓቶች ወቅት በአጠቃላይ አስተያየታቸውን የማቅረብ እና ፍርድ ቤት ጉዳዮችን በሚሰማበት ጊዜ የመሰማት መብት አላቸው።• በን.ሕ.ቁ 599 መሰረት መረጃ የመጠየቅና የማግኘት መብት አላቸው።5. ለጥንቃቄ ዕዳን መልሶ የማዋቀር ዕቅድ• በባለእዳዋ ይዘጋጃል፤• ለጥንቃቄ ዕዳን የማዋቀር ዘርፍ ባለሞያዎች እቅዱ ዝግጅት ላይ ለባለዕዳዋ/ው ድጋፍ ይደረጋል፤• በባለገንዘቦች በተናጥል ወይም በጉባዔያቸው በእቅዱ ላይ ሃሳብ የማቅረብ እና እንዲሻሻል የአጻፋ ሃሳብ ማቅረብ መብት አላቸው፤• ዕቅዱ ላይ ተሳታፊ ባለገንዘቦች የተቃውሞ እና የድጋፍ ድምጽ የመስጠት መብት አላቸው፤• ለጥንቃቄ እዳን መልሶ ማዋቀር ስነ ስርዓቱ ከባለገንዘቦች ጋር በተጀመረ በ4 ወራት መጠናቀቅ አለበት። በዚህ ጊዜ ያላለቀ እንደሆነም ተጨማሪ ጊዜ ሊሰጥ እንደሚችል እና ይህም ጊዜ ከ8 ወር ሊበልጥ አይችልም።• ዕዳን መልሶ የማዋቀር ዕቅዱ ዕዳን መልሶ በማዋቀር ሥነ ሥርዓቱ ውስጥ በሚሳተፉ የሚመለከታቸው ገንዘብ ጠያቂዎች በሙሉ ተቀባይነት ማግኘት አለበት፤6. በዕቅዱ ሊካተቱ የሚችሉሀ) ለሚመለከታቸው ገንዘብ ጠያቂዎች የክፍያ ጥያቄዎች እንደገና የጊዜ ሰንጠረዥ ማውጣት፣ /rescheduling of the claims/ለ) የሚመለከታቸው ገንዘብ ጠያቂዎችን የክፍያ ጥያቄዎችን መተው፣/waiver of claims/ ሐ) የገንዘብ ዕዳ ሰነዶችን አወጣጥ በሚመለከቱ ሕጎች መሰረት የገንዘብ ዕዳ ሰነዶችን በማውጣት የክፍያ ጥያቄዎችን መፍታት፣ /issuing of financial debt instruments/መ) የሚመለከታቸውን ገንዘብ ጠያቂዎች የክፍያ ጥያቄዎች ወደ አክሲዮን መቀየር፣ ሠ) የዚህ ሕግ አስገዳጅ ድንጋጌዎች እንደተጠበቁ ሆነው በገንዘብ ጠያቂው ወይም በሦስተኛ ወገን ኢንቨስተሮች የሚገዛውን የባለዕዳውን ካፒታል መጠን መቀነስ ወይም መጨመር፣ ሸ) ለገንዘብ ጠያቂው ወይም ለሦስተኛ ወገን ኢንቨስተሮች ነባር አክሲዮኖችን መሸጥ ወይም አዲስ አክሲዮኖችን ማውጣት።ቀ) እዳን አከፋፈልን ለማረቅ የሚያስችል አዲስ ገንዘብ ምንጭ ማግኘት7. የእቅዱ መጽደቅ• እቅዱ በባለዕዳዋ/ው ተዘጋጅቶ፣ በተስታፊ ባለገንዘቦች ተቀባይነት ያገኘ እንደሆነ ለጥንቃቄ እዳን የማዋቀር ዘርፍ ባለሞያ/ዎች/ ለፍርድ ቤቱ እንዲቀርብ በማድረግ እንዲጸድቅ ይሆናል።• ይህ እቅድ በፍርድ ቤቱ ከጸደቀ በኋላ ተፈጻሚ እንደሚሆን በን.ሕ.ቁ 629 ላይ ተመልክቷል።

2022-04-15 : 00:00:00

The Ministry of Justice (MoJ) issues Ethiopia’s first law firm license to Habesha Legal Advocates (HLA).

Habesha Legal Advocates LP is the first law firm in Ethiopia to receive a license from the Ethiopian Bar Association. HLA registered with 1.5 million ETB in initial capital and was founded by three partners who practiced law for over ten years. Wubshet Demissie studied law and graduated from the Ethiopian Civil Service College in 2008. He has been practicing law since 2012. Bayou Mekonnen graduated from Haromaya University in 2006. Gebeyhu Zikaregachew studied law and graduated from Hawassa University in 2009. He served as a public prosecutor for six years and specialized in tax and construction-related laws. Habesha Legal Advocates previously operated through offices in Addis Ababa and Bahir Dar. It plans to expand to more regional capitals. The firm’s practice areas are corporate, business, insurance, property, employment, criminal, and family law. It has Wubshet stated that the firm expects to add two more lawyers. Addis Mengistu has expressed his interest in joining the partnership. He was the Supreme Court Justice of the Amhara Regional State for five years. The new proclamation allows firms to provide advocacy services such as consultation on legal matters, conducting negotiations except in criminal cases, drafting or submitting legal documents on the client’s behalf, and representing a client before law courts. Article 37 of the new Lawyers Law stated that a minimum of two law-abiding lawyers are required to form a law firm. Another law office, Mehrteab Leul & Associates Law Office, is converting into a law firm. Its founder, Mehrteab Leul, stated that the market requires fully-fledged law firms. http://allureethiopia.com/2022/04/14/the-ministry-of-justice-moj-issues-ethiopias-first-law-firm-license-to-habesha-legal-advocates-hla/

About Us

Habesha Legal Advocates LLP is a leading law firm in Ethiopia, offering various legal services to individuals and businesses. With a strong focus on professionalism, integrity, and client satisfaction, we strive to provide effective legal solutions tailored to our clients unique needs.


Latest Blog

Uniform Demand Guarantee Rules in Ethiopia Specific to Banks: Call for Application of ICC URDG 758 in Ethiopian Banking

ለጥንቃቄ እዳን መልሶ ማዋቀርን በተመለከተ በኢትዮጵያ የንግድ ሕግ