Bank Guarantee Research Articles

LEGAL ASPECTS OF A BANK GUARANTEE AS A FINANCIAL SECURITY INSTRUMENT

A bank guarantee is an important instrument for securing financial obligations in legal transactions, creating security and trust between the contracting parties. This paper analyzes the legal aspects of a bank guarantee as a security interest, including its legal nature, types of guarantees, as well as the rights and obligations of the contracting parties. Special focus is placed on the analysis of domestic legislation in the Republic of Serbia and comparative legal practice, highlighting the similarities and differences of approaches across different jurisdictions. The paper also examines the role of bank guarantees in international transactions with reference to relevant international conventions and regulations, especially in the context of globalization of markets. The aim of the paper is to provide a comprehensive overview of the legal framework that governs the issuance and enforcement of bank guarantees and to identify challenges and opportunities for improving this financial instrument in practice. Based on the analysis, recommendations are made for legal entities to optimize the use of bank guarantees in business transactions.

Pengaruh Kualitas Pelayanan terhadap Kepuasan Nasabah pada PT. Bank Rakyak Indonesia (Persero) Tbk.Unit Kota Ambon

This study aims to determine the quality of service to customer satisfaction at PT. Bank Rakyat Indonesia. This type of research uses a qualitative approach and produces descriptive data because it intends to explore and appreciate an object. The data collection technique uses observation/observation techniques and questionnaires (questioners). The satisfaction questionnaire was compiled using satisfaction indicators, namely tangibles, emphaty, reliability, responsiveness, assurance Data analysis was carried out descriptively on the data obtained in the field. Based on the results of the data analysis described by the author in the form of the table above, it can be seen that the quality of service at PT. Bank Rakyat Indonesia (Persero) Tbk. Kota Ambon Unit has not been maximized because there are still customers who are not satisfied with the services provided. services provided by BRI Ambon City Unit. The average item is 2.08. The transaction was 2.78 and this shows that this study is in the fairly good category. The bank guarantees security for customers in making transactions. The average item is 4.1, indicating that the research is included in the very good category and this means that the bank is able to ensure the safety of every customer who makes a transaction

THE ROLE OF COMMERCIAL BANKS IN THE ECONOMY OF THE REPUBLIC OF UZBEKISTAN

Commercial banks provide trade finance services such as letters of credit and bank guarantees that facilitate international trade. In addition to financing, commercial banks in Uzbekistan also play an important role in promoting financial inclusion. They offer a range of financial products and services to individuals of all income levels, including savings accounts, debit cards and personal loans. It will help promote financial literacy and inclusion in the country. Commercial banks also make a significant contribution to the growth of the economy by attracting savings of the population and business entities. They pool these funds and allow them to be used for investment in various sectors of the economy. This will help stimulate economic growth and development.

Issuance of Bank Guarantees to Construction Service Providers at Islamic Banks

Issuance of Bank Guarantees to Construction Service Providers at Islamic Banks

Separation of Surety Agreement and Guarantee Agreement

Objective: The purpose of this research is to learn the differences between the “Surety Agreement” and the “Guarantee Agreement”, which are often confused in collateral law. Method: The research method used in this study was based on finding the general result to be obtained after comparing the opinions of academics with court decisions based on domestic legal rules in Turkey. Results and Discussion: In contracts established in commercial and social life, there are remedies such as "Surety Agreement" or "Guarantee Agreement" to eliminate or significantly reduce the risk of the debtor's inability to pay the debt. It has been concluded that the Guarantee Agreement provides a stronger guarantee than the Surety Agreement, is established by a different contract from the articles of association, the creditor has the right to apply directly to the guarantor in the articles of association, and in case of hesitation, he has the right to apply to the guarantor. there is a practice and consensus on this issue before the Turkish courts and academics. Research Implications: The information and documents that can be used in this research have been obtained completely from open sources. all of the quoted information is written in the footnotes and bibliography section. Originality/Value: The novelty of this research is that it explains the reasons for using the “Bank Guarantee Letter”, the most well-known example of which is due to the fact that the Guarantee Agreement provides more effective protection to the creditor party in the field of collateral law.

The Injunction to Pay under a Bank Guarantee as a Procedural Means of Interference in Guarantee Legal Relations

The paper analyzes the balance between the procedural institution of acceptance of interim measures by the courts and the material institution of ensuring the fulfillment of obligations by issuing independent (bank) guarantees. The author raises the issue of the intrusion of interim measures into the independent nature of the guarantee relationship and justifies the approach according to which such interim measures may be permissible if there are signs of abuse of the right by unscrupulous beneficiaries. The paper analyzes the practice of both arbitrazh courts and courts of general jurisdiction and the approaches of courts to the adoption of interim measures prohibiting banks from making payments under a bank guarantee. The author also touches upon the issues of the standard of proof when courts apply interim measures in guarantee relations. In conclusion, it is substantiated that alternative methods of restoring the rights of the principal or guarantor in the form of collecting unjustified enrichment from an unscrupulous beneficiary may not be effective enough.

The Role of Bank Guarantee As Collateral in The Implementation of Work on Projects At PT Hutama Karya (Persero) EPC Division (Study on The Muara Tawar 2 X 650 MW Power Plant Project)

Large projects such as power plants require guarantees for the implementation of the work to ensure the project's smooth running. A Bank guarantee is commonly used in these large projects to ensure contract fulfillment and good performance. This research aims to evaluate bank guarantees' role in projects such as the 2 x 650 MW Muara Tawar Power Plant run by PT Hutama Karya (Persero) EPC Division. This research uses qualitative research methods. Data collection techniques in this study include literature studies and interviews. Data analysis techniques used in this study include data reduction, data presentation, and conclusion drawing. The results showed that bank guarantees are essential in implementing work on projects at PT Hutama Karya (Persero) EPC Division. Bank guarantees can be used to guarantee various things, such as quality of work, timely completion, and payments to third parties. Bank guarantees have various benefits in the implementation of work on projects at PT Hutama Karya (Persero) EPC Division, including increasing the employer's trust in service providers, increasing the certainty of work implementation, and increasing efficiency in the work implementation process.

Ensuring Legal Certainty: The Disbursement of Bank Guarantees

The precautionary principle, commonly associated with lending, extends beyond credit transactions to include other banking services such as bank guarantees. Bank guarantees serve as a form of debt guarantee provided by banks to their customers. This article addresses concerns related to the disbursement of bank guarantees during disputes and emphasizes the importance of customer protection in this context. The method employed is a normative juridical approach, incorporating conceptual, statute, and philosophical considerations. The findings reveal that the application of the Precautionary Principle in the Financial Services Authority Regulation (POJK) Number 18/2016 is evident through the inclusion of "Risk Management" provisions. In line with the Precautionary Principle, banks are advised to postpone disbursement when a legal dispute arises between the beneficiary of the bank guarantee and the customer who applied for it. To prevent controversies arising from bank guarantee disbursements, it is recommended that Bank Indonesia or the Financial Services Authority (OJK) establishes regulations specifically addressing the disbursement process for bank guarantees. This regulatory framework would contribute to the effective implementation of the Precautionary Principle in the context of bank guarantees.

The role of content marketing and influencer marketing strategies and banking guarantees in SMEs bankruptcy addressing

Micro, Small and Medium Enterprises (MSMEs) face challenges in business growth and often face bankruptcy due to various factors, such as declining consumer demand for their products and the rapid advancement of digital marketing technologies. This shift in consumer behavior towards digital platforms has particularly affected MSMEs in Medan City, leading to prolonged closures. To address this issue, this study aims to investigate the effectiveness of content marketing and influencer marketing strategies, along with the role of banking guarantees, in mitigating bankruptcy risks for MSMEs in the region. Using data analysis via SmartPLS software, the findings reveal that while content marketing alone doesn't show a direct positive impact, it significantly contributes to banking guarantees. Additionally, influencer marketing plays a significant role in enhancing banking guarantees and mitigating bankruptcy risks. Moreover, banking guarantees serve as a crucial intervening variable, amplifying the impact of both content and influencer marketing strategies in overcoming bankruptcy challenges for MSMEs.

Restraining the Encashment of Irrevocable Letters of Credit and Unconditional Bank Guarantees Based on Special Equities and Irretrievable Injustice in India

Restraining the Encashment of Irrevocable Letters of Credit and Unconditional Bank Guarantees Based on Special Equities and Irretrievable Injustice in India

Analysing Bank Guarantee and Special Equities - Murky Line between Pre-2019 and Post-2019 Ruling

Analysing Bank Guarantee and Special Equities - Murky Line between Pre-2019 and Post-2019 Ruling

Ways to enhance the operations of interregional territorial departments of the Antimonopoly Committee of Ukraine: Ensuring unity in safeguarding economic competition

The article provides a thorough analysis of the structure and functions of the territorial branches of the Antimonopoly Committee of Ukraine, focusing on their decisive impact on regional control over compliance with legislation on economic competition protection. The key role of the Committee’s Chairman is highlighted, emphasizing the importance of the branches’ functionality in shaping and implementing competitive policies.The article proposes specific recommendations to enhance the effectiveness and compliance with legislation of interregional territorial branches. The authors identify shortcomings and propose solutions to issues related to the application of legislation on economic competition protection. The article emphasizes the crucial importance of adhering to the Methodology and calls for the use of a unified practice among interregional territorial branches.Specific proposals for decisions by the administrative boards of territorial branches are discussed, addressing the correction of discrepancies in the Methodology, strengthening control, and improving case review procedures. The significance of regular updates and improvements to the methodology of territorial branches’ work is emphasized to prevent unjust decisions and deficiencies in conducting investigations.In the context of anticompetitive cases, the article highlights the necessity of considering specific circumstances and ensuring proper control over the review, evidence collection, and justification of decisions to improve the quality and objectivity of antimonopoly control in Ukraine.In the analysis of cases related to violations of anticompetitive concerted actions affecting auction outcomes, the Antimonopoly Committee can identify the absence of necessary documents, such as bank guarantees, provided by auction participants. The primary goal is to identify facts of competition violations. However, it is crucial to avoid general conclusions regarding the submission of all necessary documents, as this area falls under legislation on public procurement and is not within the scope of the Antimonopoly Committee’s investigation or authority.

Quality management system in hotels

The article examines the strategic use of real estate leasing in the hotel business as an effective tool for not only providing the necessary premises, but also optimizing costs and time, contributing to the sustainable development of the hospitality industry. Special emphasis is placed on key elements of quality management such as bank guarantees, insurance, and lending, providing marketing professionals with new insights for effective advertising campaigns and customer acquisition.

Sources of Financial Support for Small and Medium-sized Enterprises: the Case of the Sakha Republic (Yakutia)

The article reviews small and medium-sized businesses in the Sakha Republic (Yakutia), and their role and significance in the economy of the republic. The purpose of the study was to determine the available financial opportunities for the development and support of small and medium-sized businesses in the Sakha Republic (Yakutia). The system of available sources of financial support in the region was considered, including government programs to support small and medium-sized businesses, subsidies, grants aimed at supporting their activities, preferential bank loan programs and microloans for small and medium-sized businesses. An analysis of available financial sources showed their limitations and inaccessibility for most small and medium-sized enterprises that do not have sufficient collateral, bank guarantees and sureties. Most of the representatives of small and medium-sized enterprises in the republic do not have timely accessible information about the proposed sources of financial support from government authorities. At the same time, not all enterprises cope with filling out the required documentation to receive financial support. The work provides a comparative analysis of preferential interest rates and loan terms for small and medium-sized businesses that have official programs in the Sakha Republic (Yakutia). For this purpose, the official partner banks of the Microcredit Company of the Entrepreneurship Development Fund of the Sakha Republic (Yakutia) were selected: VTB Bank PJSC (Public Joint Stock Company), AKB (Joint Stock Commercial Bank) “Almazergienbank” Joint Stock Company (JSC) and Joint Stock Company (JSC) “Asian-Pacific Bank”. As a result of the analysis, the work identified the most effective sources of financial support for small and medium-sized enterprises in the Sakha Republic (Yakutia). The work provides examples of successful projects that have received financial support in the republic. Based on the study, recommendations were proposed for improving the system of financial support for small and medium-sized businesses in the Sakha Republic (Yakutia).

LEGAL REASONING OF THE JUDGE'S DECISION REGARDING GOVERNMENT PROCUREMENT CONTRACT GUARANTEE CLAIM

The decision is a written legal text made by an authorized judge, and its legal product is categorized as a crown. However, despite being considered a crown, a judge's decision is not exempt from examination by legal scholars. The optics used in the examination process are based on various perspectives, including hermeneutics as the fundamental basis for interpreting the text (decision). Substantively, hermeneutics has three main streams of thought, namely as a theoretical (methodological), philosophical, and critical hermeneutics, each with different understandings. Hermeneutics as a method focuses more on the effort to capture and reveal the meaning of the text, while philosophical hermeneutics goes beyond that and emphasizes "capturing meaningful meaning," implying that the meaning of the text can be continuously produced through a dialectical process. On the other hand, critical hermeneutics focuses on the aspect of disclosing the meaning of the author's ideological interests. This research aims to examine the legal reasoning in Decision No. 272 / PDT.G / 2017 / PN.BDG regarding the Government Procurement Contract Guarantee Claim from the perspective of Hans Georg Gadamer's Hermeneutic Circle. The research type is normative doctrinal, using secondary data sources consisting of primary, secondary, and tertiary legal materials with a conceptual approach, statutory approach, and case study. The research findings suggest that the process of claiming a bank guarantee through the judicial institution can be carried out by the Procurement Committee (PPK) as long as they obtain authorization from the Budget User, who is the owner of the work (bouwheer). This is due to the hybrid nature of government procurement contracts, which distinguishes them from private contracts, and the clarity of the scope of authority of the Budget User serves as the establishment of formal justice, acting as a bridge (epistemology) toward substantive justice.

Government guarantees and bank liquidity creation around the world

Governments provide bank guarantees, such as deposit insurance. While risk effects are well researched, impacts on bank output remain largely unexplored. We investigate bank output effects using data from 75 countries/regions on bank liquidity creation, a comprehensive bank output measure. We address reverse causality, examining home-country guarantee effects on liquidity creation by subsidiary banks in foreign host nations, and mitigate omitted-variables concerns with host country × year fixed effects and home country controls. Findings suggest home-country guarantees decrease subsidiary bank liquidity creation up to 10%, and hold prior to, during, and after the Global Financial Crisis.

Juridical Review of Coal as an Object of Fiduciary Collateral in Banking Credit Agreements (Study of the Decision of Pt Anzawara Satria V. PT Bank Artha Graha Internasional TBK)

Mining activity is a capital-intensive industry that requires enormous cost. In supporting financing in mining activities, one of the sources is through a bank credit facility. With a series of mining activities that are quite complex, there is a high risk of financing from mining activities, one of which is the risk of non-performing loans. In anticipating these risks, banking institutions in practice have implemented the prudential principle through the implementation of 5C, one of which is guarantee (collateral). Based on Judicial Decision Number 714/ PDT /2016/ PT.DKI between PT Anzawara Satria against PT Bank Artha Graha Internasional, Tbk., PT Anzawara Satria as a mining company has provided guarantees in the form of coal supplies to PT Bank Artha Graha International Tbk. This research will review the material properties of coal as bank guarantees and analyse the position of coal as collateral based on Indonesian Mining Law. This research uses a normative juridical method with sources from secondary data, namely: (1) primary data materials in the form of relevant laws and regulations; (2) secondary data material, which includes books, journals, articles, or other related sources. This research resulted that, first, based on the nature of coal, coal may be guaranteed by fiduciary and pledge. Second, based on mining law in Indonesia, coal may be guaranteed with the condition that mining business actors are required to pay production fees (royalties) as a form of transfer of ownership rights from the state to business actors

DEFINING THE ROLE OF BANK GUARANTEES IN THE SYSTEM OF ENSURING THE PAYMENT OF CUSTOMS DUTIES UNDER THE COMMON TRANSIT PROCEDURE

The article is devoted to the topical issues of ensuring the payment of customs duties when goods are placed in the common transit regime, given that the Convention on the Common Transit Procedure will enter into force in Ukraine in 2022. The formation and development of the legislative framework for regulatory and legal regulation of ensuring the fulfilment of customs obligations are investigated. The level of interest of various stakeholder groups in the concepts of “bank guarantee” and “common transit” for 2019-2023 is determined by building trend line models for diagrams of the distribution of search queries. The most appropriate option for obtaining a guarantee service from such financial service providers as a bank, an insurer and a financial company is determined based on three criteria: the right to issue a general guarantee, the cost of the guarantee service, and the stability of functioning in the financial services market.

Bank Guarantee Functions As Distributor Guarantee To Customers Issued By Pt. Indonesian People's Bank (Persero) Tbk.

This research was conducted to find out the functions and procedures of the Bank Guarantee as a guarantor for distributors to customers issued by PT. Bank Rakyat Indonesia (Persero) Tbk. This type of research uses qualitative research with the type of field research (Field Research). Field research is a field research procedure that produces descriptive data, data collection methods used are interviews, documentation and literacy regarding Bank Guarantees. The sources of this research are employees of PT. Bank Rakyat Indonesia (Persero) Tbk. Mamba Branch. To find out the function and analyze the Bank Guarantee process as a guarantor for distributors to customers issued by PT. Bank Rakyat Indonesia (Persero) Tbk. Mamba Branch. From the results of this study, Bank guarantee distributor guarantees for customers are included in the type of Bank Guarantee for customers' working capital needs in carrying out business activities. This type of bank guarantee aims to guarantee suppliers (suppliers, factories) who supply raw materials or trade goods used/required by customers in order to fulfill the customer's working capital needs.

Impact of the Amendment of 14 April 2023 in the Field of Bankruptcy Law on the Debt Collection Function of Bankruptcy Proceedings

The publication analyses the impact of the amendment to the bankruptcy law on the basis of the Act of 14 April 2023 on Amending the Act on Investment Funds and Management of Alternative Investment Funds, the Act on Bonds, the Act on the Bank Guarantee Fund, the Deposit Guarantee Scheme and Compulsory Restructuring, and some other acts, on the debt collection function of the bankruptcy law. Article 8 of the Act of 14 April 2013 modifies institutions of the bankruptcy law, insolvency and the order of satisfying creditors. The correct formation of these institutions is vital for the implementation of the debt collection function of the bankruptcy law. Therefore, the debt collection function was first characterized. Then, the institution of insolvency, the order of satisfying creditors and the normative modifications of these institutions introduced by the amendment in question and their impact on the debt collection function of the bankruptcy law have been analysed. The publication also discusses changes to the scope bankruptcy proceedings in respect of banks and cooperative savings and credit funds.