1. The bank may not terminate the letter of credit before the expiry of the term specified therefor, except where the beneficiary dies, becomes legally incompetent or suspends payment, even though a judgment declaring his bankruptcy is not issued or he commits a gross fault in using the letter of credit opened in his favor. 2. Where the customer in whose favor the letter of credit is opened is a company, such credit shall expire also upon its nullification or expiration.
Interpretation and application must be checked against the official text and current version.