Irrevocable Letter of Credit No. MIC310886 between Fifth Third Bank, Liberty Renewable Fuels, LLC, and Wilcox Design-Build LLC
Fifth Third Bank issued an irrevocable letter of credit for $1,634,000 on behalf of Liberty Renewable Fuels, LLC, in favor of Wilcox Design-Build LLC. The letter of credit guarantees payment for earthwork and utilities services, provided Wilcox submits required documents, including invoices and shipping evidence, by December 22, 2007. The bank will deduct certain fees from the proceeds, and all documents must be in English and comply with specified terms. This letter of credit is governed by international banking rules and is the operative instrument for the transaction.
Exhibit 10.17
| BANK REFERENCE NO. MIC310886 | PAGE 1 | |
| JANUARY 09, 2007 |
ISSUING BANK:
FIFTH THIRD BANK, (EASTERN MICHIGAN)
APPLICANT:
LIBERTY RENEWABLE FUELS, LLC
3508 E. M-21
CORUNNA, MI 48817
BENEFICIARY:
WILCOX DESIGN-BUILD LLC
37987 INTERCHANGE DRIVE
FARMINGTON HILLS, MI 48335
| LETTER OF CREDIT NO: | MIC310886 | |
| ISSUE DATE: | JANUARY 09, 2007 | |
| EXPIRATION DATE: | DECEMBER 22, 2007 | |
| EXPIRATION PLACE: | AT OUR COUNTERS |
AMOUNT: 1,634,000.00 USD
ONE MILLION SIX HUNDRED THIRTY FOUR THOUSAND 00/100 U.S. DOLLARS
WE HEREBY ISSUE IN YOUR FAVOR THIS IRREVOCABLE DOCUMENTARY LETTER OF CREDIT WHICH IS AVAILABLE WITH ANY BANK BY PAYMENT OF YOUR DRAFT(S) AT SIGHT FOR 100 PERCENT OF THE INVOICE VALUE ON FIFTH THIRD BANK, (EASTERN MICHIGAN) ACCOMPANIED BY THE FOLLOWING DOCUMENTS:
1. SIGNED ORIGINAL COMMERCIAL INVOICES
PLUS ONE COPY OF FISHER CONTRACTING COMPANY.
MERCHANDISE TO BE DESCRIBED IN INVOICE AS:
BID PACKAGE NO. 1, EARTHWORK AND UTILITIES.
PARTIAL SHIPMENTS ARE ALLOWED.
TRANSHIPMENTS ARE PROHIBITED.
COMBINED SHIPMENTS ARE PROHIBITED.
SPECIAL CONDITIONS:
COPY SET OF ALL DOCUMENTS FOR ISSUING BANK’S FILES IS REQUIRED.
| BANK REFERENCE NO. MIC310886 | PAGE 2 | |
| JANUARY 09, 2007 |
FAILURE TO SUPPLY THESE PHOTOCOPIES WILL RESULT IN USD10.00 BEING DEDUCTED FROM THE PROCEEDS TO BENEFICIARY.
WE UNDERSTAND INSURANCE TO BE EFFECTED BY APPLICANT.
A USD50.00 OR EQUIVALENT PAYMENT WILL BE DEDUCTED FROM THE PROCEEDS TO COVER THE TELEGRAPHIC TRANSFER OF FUNDS. ANY TELEX COMMUNICATIONS OR SPECIAL HANDLING REQUESTED, CHARGES WILL BE EFFECTED BY BENEFICIARY.
A USD100.00 OR EQUIVALENT DISCREPANCY FEE WILL BE EFFECTED BY BENEFICIARY OF THIS CREDIT FOR EACH SET OF DOCUMENTS CONTAINING DISCREPANCIES.
THIS STATEMENT MUST NOT BE CONSTRUED TO MEAN WE WILL ACCEPT DOCUMENTS CONTAINING DISCREPANCIES.
NOTE: COMBINED DRAWINGS COVERING MULTIPLE LETTERS OF CREDIT ARE PROHIBITED.
ALL DOCUMENTS TO BE SUBMITTED IN THE ENGLISH LANGUAGE.
CONFIRMATION INSTRUCTIONS: WITHOUT
DRAFT MUST BEAR THE CLAUSE “DRAWN UNDER DOCUMENTARY CREDIT NO. MIC310886 OF FIFTH THIRD BANK, (EASTERN MICHIGAN)”.
ALL DOCUMENTS ARE TO BE PRESENTED OR FORWARDED VIA AIR COURIER IN ONE SET TO:
FIFTH THIRD BANK
INTERNATIONAL TRADE SERVICES
1850 EAST PARIS S.E., MD ROPS81
GRAND RAPIDS, MI 49546
800 ###-###-####
| BANK REFERENCE NO. MIC310886 | PAGE 3 | |
| JANUARY 09, 2007 |
DOCUMENTS MUST BE PRESENTED TO NEGOTIATING OR PAYING BANK WITHIN 21 DAYS AFTER THE DATE OF ISSUANCE OF DOCUMENTS EVIDENCING SHIPMENT OR DISPATCH OR TAKEN IN CHARGE (SHIPPING DOCUMENTS) BUT WITHIN VALIDITY OF LETTER OF CREDIT.
UPON RECIEPT OF DOCUMENTS IN COMPLIANCE WITH THE TERMS AND CONDITIONS OF THIS LC, WE SHALL REMIT PROCEEDS TO THE NEGOTIATING BANK AS PER THEIR INSTRUCTIONS.
ALL CHARGES OTHER THAN THOSE OF THE ISSUING BANK ARE FOR THE ACCOUNT OF THE BENEFICIARY.
UPON RECEIPT OF DOCUMENTS IN COMPLIANCE WITH LETTER OF CREDIT TERMS WE WILL FORWARD FUNDS AS PER INSTRUCTIONS OF NEGOTIATING BANK LESS OUR USD35.00 CHARGE AND LESS DISCREPANCY FEE USD40.00, IF ANY. THIS STATEMENT MUST NOT BE CONSTRUED TO MEAN WE WILL ACCEPT DOCUMENTS CONTAINING DISCREPANCIES.
THIS CREDIT IS SUBJECT TO THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION), INTERNATIONAL CHAMBER OF COMMERCE PUBLICATION NO. 500.
THIS IS THE OPERATIVE INSTRUMENT. NO MAIL CONFIRMATION WILL FOLLOW.
REGARDS,
FIFTH THIRD BANK
INTERNATIONAL TRADE SERVICES
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| AUTHORIZED SIGNER | AUTHORIZED SIGNER |
JANUARY 09, 2007
LIBERTY RENEWABLE FUELS, LLC
3508 E. M-21
CORUNNA, MI 48817
PER YOUR REQUEST WE HAVE ISSUED LETTER OF CREDIT NUMBER MIC310886 IN FAVOR OF WILCOX DESIGN-BUILD LLC.
ATTACHED PLEASE FIND A COPY FOR YOUR RECORDS.
PLEASE CONTACT ME WITH ANY QUESTIONS REGARDING THIS LETTER OF CREDIT.
REGARDS,
PAMELA LORD
FIFTH THIRD BANK
INTERNATIONAL TRADE SERVICES
1850 EAST PARIS S.E., MD ROPS81
GRAND RAPIDS, MI 49546
TEL: ###-###-#### OR ###-###-####
FAX: ###-###-####
