The major advantage of incorporation for a seller is
that, where the rules are incorporated, he will know in advance the criteria
against which the banks will examine the shipping documents in deciding whether
or not to pay under the credit. The major advantage of incorporation for a buyer
is that he will know in advance the criteria against which the price for the
goods will be paid against tender of documents. However, for the buyer to be
under an obligation to open a letter of credit governed by the UCP 600, the sale
contract needs to include an express condition imposing such an obligation on
the buyer. Only with such a condition in place can the seller object if the
buyer were to open a letter of credit that is not governed by the UCP, e.g.
'Payment by irrevocable letter of credit, incorporating UCP 600'.However, buyers may still
stipulate in the credit that certain aspects of the UCP rules are excluded,
provided of course this was laid down in the sales contract.