(To be printed on Bank letterhead)
Month xx, 20__
TO : Internal Trade Secretariat Corporation -Corporation du Secrétariat du commerce intérieur) ("ITS"), Trustee for the beneficiaries
Re: Irrevocable Standby Letter of Credit No. X,
At the request of the PROVINCE of _____________,______________ (name and address of the bank or financial institution) (the "Bank") hereby issues in favour of the Internal Trade Secretariat Corporation - Corporation du Secrétariat du commerce intérieur - ("ITS"), acting as trustee for the Signatories listed in Exhibit "A" (the "Signatories") to THE AGREEMENT ON INTERNAL TRADE dated July 18, 1994, as amended from time to time ("AIT"), this irrevocable Standby Letter of Credit No.______________ (the "Standby") in the total amount of ______________ (the maximum amount for the Province set out in AIT Annex 1707.1(2) (the "Available Amount") which is available upon receipt by the Bank of:
(a) a written demand from the ITS for payment addressed to the Bank bearing the clause "drawn under irrevocable Standby Letter of Credit No.______________, issued by the Bank";
(b) a certified copy of the Compliance Panel Order for a monetary penalty in the form attached in Exhibit "B";
(c) a Certificate of the Executive Director of ITS stating that it has the right to present a demand for payment in accordance with the AIT; and
(d) a Direction executed by the Executive Director of ITS instructing the Bank to pay the amount or amounts drawn therein to the Beneficiaries in accordance with the Certificate of Penalty.
The Bank agrees to pay to the Signatories identified as the Complaining Party or Parties in the aforementioned Certificate of Penalty and in the Direction an amount up to ______________ (Available Amount), and to provide the ITS written confirmation and details of payment.
The Bank will honour any demand for payment under this Standby without any enquiry on its part as to whether ITS is entitled to make such demand and notwithstanding any disputes or objections between the Province of ______________ and/or ITS and/or any of the Signatories. ITS shall not have any obligation to institute legal proceedings against the Province before presenting a demand for payment pursuant to this Standby.