This Letter of Credit - Authorization and Indemnity authorizes a bank to issue a letter of credit for a company. In exchange, the company indemnifies the bank for any payments which the company does not make under this letter of credit. This letter contains the name of the bank, name of the credit beneficiary and the identity of any security held by the bank in exchange for the letter of credit. It is important that this business transaction be clearly set out in writing. A written Letter of Credit with Authorization and Indemnity will prove valuable in the event the beneficiary defaults in their credit obligations or if litigations is filed.

This Letter of Credit - Authorization and Indemnity includes the following:

• Parties: Names of bank issuing the letter and beneficiary under the letter of credit;
• Indemnity: Beneficiary indemnifies the bank for the payment of any obligations under this letter of credit;
• Authorization: Beneficiary authorizes bank to debit its account in an agreed upon amount if account is outstanding;
• Signature: This authorization and indemnification must be signed and dated by the beneficiary.

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This attorney-prepared packet contains:

1. General Instructions
2. Letter of Credit - Authorization and Indemnity

State Law Compliance: This form complies with the laws of all states