Sri Lanka, April 19 -- This case is about a dispute between a company called Vanathawilluwa Vineyard Ltd (VWV) and a Bank regarding two shipments of gherkins exported to Holland.

VWV Ltd, a Company in the import and export business shipped two consignments of gherkins to a buyer named Hans Van Kilsdonk in Holland.

Bills of lading (shipping documents) were issued to the order of a local Bank. VWV. Ltd drew two bills of exchange for the shipments, payable to the Bank "at sight" (immediate payment).

The Bank (referred to hitherto as The Bank for purposes of this article) endorsed the bills of lading with "Deliver to the order of Giro Van De Bank". The dispute arose when the bills of exchange were dishonoured (not paid by the buyer), and T...