§ 12. SAMPLE IRREVOCABLE DOCUMENTARY LETTER OF CREDIT.

   (name of bank)                        (date)

   (advising bank)

BENEFICIARY:

VILLAGE OF KELLEYS ISLAND            APPLICANT:

KELLEYS ISLAND, OHIO 43438

                               (subdivider)

EXPIRATION DATE FOR NEGOTIATION/

PRESENTATION:                     AMOUNT:

Dear Sirs:

We hereby issue in your favor this documentary letter of credit which is available by negotiation of your draft(s) at sight drawn on $                 U.S. bearing the clause “Drawn under documentary credit no.       ,                        ,” accompanied by the following documents:

                (bank)

Beneficiary's signed statement that                                     has failed to perform

(subdivider)

properly under terms of its agreement with Kelleys Island, Ohio relative to improvements of

                                                                                           .

    (subdivision improvements)

We hereby engage with the bonafide holders of all drafts drawn or documents presented under and in compliance with the terms of this letter of credit that such drafts or documents will be duly honored upon presentation to us.

The amount of each drawing must be endorsed on the reverse side of this letter of credit by the negotiating bank.

Yours faithfully,

   (bank name)                (signature)

(Ord. 537, passed 7-19-90)