Glossary

URDG 758

URDG 758 (Uniform Rules for Demand Guarantees) are a set of contractual rules that apply to demand guarantees and counter-guarantees. As the URDG are contractual by nature, they apply only if the parties to a demand guarantee or counter-guarantee so choose. In simple terms, URDG offers a set of guidelines for the issue of Demand Guarantees which include Bank Guarantees in the way in which they are worded and constructed.

URDG 758 took effect on 1 July 2010 and is clearer and more precise than its predecessor, URDG 458. URDG 758 uses language consistent with that in the ICC’s universally accepted Uniform Customs and Practice for Documentary Credits (UCP 600). They call for new definitions and interpretation rules to provide greater clarity and precision. They also set out how demands are examined and how to handle extend-or-pay demands and force majeure.