Allied Chemical International Corp. v. Companhia de Navegacao Lloyd Brasileiro (The Itapura) - U.S. Court of Appeals for the Second Circuit (Meskill, Kearse and Winter JJ.) - 15 October 1985

Documentary sale - Payment by sight drafts against documents - Cargo delivered without production of bills of lading

In September 1980 Allied received from Banylsa (a Brazilian corporation) an order for a quantity of caprolactan. The sale was to be in two lots of 6,000 bags on terms of sight drafts against documents through Banco Bamerindus do Brasil S.A. in Sao Paulo. The sight drafts were in the amount of the invoice price per lot, $266,756.92 c. & f. Salvador, Brazil. Allied chose Lloyd to be the carrier.