What does draw down mean? (contract terminology)
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Second Installment shall be payable by draw down of Buyer's Letter of Credit upon: How should draw down be understood in this sentence, and this word is key in this sentence. This post was last written by alex_Edited by zxorc on 2008-1-31 17:32 ]
The meaning of draw down itself: to attract, to incur; to exhaust. Without more context, the guess may be: to issue (certificate of credit, credit document): lol
Second Installment shall be payable by draw down of Buyer's Letter of Credit upon: draw down is often used for expiration and payment of letters of credit. The end of the sentence is an upon+colon, which seems to be followed by payment conditions. If so, the meaning of the whole sentence is: The second installment will be paid by letter of credit issued by the buyer under the following conditions.