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The past twenty years have seen more than a dozen cases, in which parties to letter of credit transactions have sought subrogation to the rights of the person they have paid or to the rights of the persons on behalf of whom, they have acted.' The most obvious case arises when the issuer of a standby letter of credit pays a beneficiary on a debt that is owed to the beneficiary by a bankrupt applicant. Having failed to take 'collateral from the applicant, the issuer seeks to be subrogated to the security interest of the beneficiary. Failing subrogation, the issuer may be the lowest of the low, a general creditor in the applicant's bankruptcy. If it is subrogated to a perfected security interest, the issuer will be a perfected secured creditor in that bankruptcy. As we will see, applicants have also sought subrogation upon reimbursement of the issuer. Sometimes even confirmers have sought subrogation to the issuer's claim against an applicant.