UNIFORM RULES AND PRACTICE FOR INTERMEDIARIES AND BROKERS.   (URPIB).

URPIB Article 5:                          URPIB Article 7:                                 URPIB Article 8:
Stepping Back                                                                         ommission payment matters​                                      Commission Pay Order Instrument and Rates.

URPIB Article 6:
Chain of Command

URPIB Article 5:
Stepping Back

    ‘Stepping back’ procedures occur at the point at which the end Buyer, Buyer/Seller and the supplier at any given time will need to deal directly with each other. Both sides are independent of each other: one side of the deal does not become involved with the other side of the deal, as both sides of the deal start and end with the middle controlling Buyer/Seller.
    The Buyer/Seller controlling the transaction is obligated to protect, secure and pay all intermediaries involved in any particular transaction on both sides, once the business has been successfully concluded.
    If a Buyer/Seller is claiming to hold the middle controlling position, he shall ‘offer’ his services to protect the commission of intermediaries involved on both sides of the transaction.


URPIB Article 6:
Chain of Command

    The Buyer/Seller is the controlling entity of the whole intermediary group. The Primary Intermediary (PI), the immediate associate next to the Buyer/Seller is second in command. The (PI) adjacent to the end Buyer is next in line, and then finally there are the sourcing intermediaries who do not have any defined role in the actual closure of the trade.
    A Buyer/Seller is a primary principal with special skills and capabilities that enable him to be able to close a complex import export transaction.
    All other intermediaries assisting the Buyer/Seller are ‘sourcing intermediaries’ (SI). A sourcing intermediary may not circumvent the nominated primary intermediary (PI) to attempt to transact directly with the Buyer/Seller unless the primary intermediary provides permission of the same.
    If no honourable trusted informed URPIB Buyer/Seller is evident in the string contract, then all the other intermediaries cannot and should not expect to close a deal and earn the commissions implied therein. Any attempts to do so means that there is a strong threat of circumvention should such a transaction occur without the use of the said Buyer/Seller.
    The first major step in the formation of an intermediary string contract is when the Buyer/Seller communicates with his immediate PI on either side of the deal. The PI informs all sourcing intermediaries (SI) as to the procedure required for ‘stepping back’. The PI secures details of all the commissions that are to be paid and then the intermediaries ‘step back’ to expose the primary intermediary next to the end principal.
    The remaining disclosed PI discusses the parameters of the transaction. The PI next to the Buyer/Seller has power over the PI next to the end principals, as it’s the Buyer/Seller who is morally, if not legally, obliged to secure the funds as well as the commission for all those he is protecting. Should the PI ultimately block the disclosure of the end principal and not step back to disclose his principal to the Seller/Buyer, no transaction will be possible.
    The PI next to the Buyer/Seller clears the path so that the Buyer/Seller is able to confer directly with the end principal(s) to close the deal. The Buyer/Seller ‘passes’ information to and from the end principal(s) via the intermediaries until contracting time. The Buyer/Seller is conducting business in a transparent manner so as to keep all involved on one side of a deal fully informed on the progress of the deal.
    The Buyer/Seller must obtain the clear path with assistance of a PI from both sides of the deal, if necessary. If this is not possible the Buyer/Seller shall refrain from continuing with the trade in question.
    The Buyer/Seller must obtain the controlling position with honest and honourable intent and without deceit or misleading statements, or no deal is said to be possible.
    A person holding a position as a sourcing intermediary in a string contract is unable to earn commission without the presence of a trusted and informed URPIB Buyer/Seller in the deal. If faced with this scenario the nominated middle Buyer/Seller is secured can only attempt to use the virtues of the IPG to get all parties on both sides to expose their principals. This must only be attempted if there is cogent evidence that the end principals exist.
    All intermediaries, in particular sourcing intermediaries, learning the business and who are not confident enough to take the position of Buyer/Seller must either seek to attach themselves to, or secure the services of, another intermediary who is a trusted and highly competent person able to transact in the position as an URPIB informed ‘Buyer/Seller’.
    A Buyer/Seller who receives information via sourcing intermediaries is then obligated to protect all intermediaries’ interests in the transaction being attempted at all times regardless of whether an IPG is in force or not.

URPIB Article 8.
Commission Pay Order Instrument and Rates.

    In accordance with UCP, the Buyer/Seller shall provide an IPG (Irrevocable Payment Guarantee) to each beneficiary prior an signed offer or in house OTS or RFQ form being advised to the buyer/seller , unless the SI ( sourcing intermediary) is attached to the buyer/seller prior .
    Proof of attachment is secured first.
    Form of attachment (FOA) is issued by the buyer /seller and accepted by the buyer/seller,at his discretion, as issued to the sourcing intermediary seeking such attachment.
    The FOA now allows the SI to disclose information to the buyer/seller who is bound to protect and secure commission for the attached intermediary for as long as such attachment is valid unconditionally in support of URPIB rules.
    The FOA once issued stands on the same platform of an IPG and of a casual Agency.
    An FOA can only be issued by an URPIB practitioner.
    Evidence of URPIB status must be implied by the buyer/ seller on any correspondence or e-mail as made apparent by those seeking attachment to a buyer/seller
    A buyer/seller is not obligated to attach anyone as such is trading as a private buyer/seller in his/her own right is the assumption.
    The rates of commission buy side. No matter what margins are applied by the seller buyer on goods secured and later offered to an end buyer 25% gross of the total commission rate is reserved for sharing to all those on the deal buy side. .
    The rates of commission sell side. No matter what margins are applied by the seller buyer on goods secured and later offered to a supplier 25% gross of the total commission rate is reserved for sharing to all those on the sell side of a deal.
    The commission rate are ;For all non break bulk cargo sold at FOB, FAS, CFR, CIF as per current incoterm 10 Percent per MT is the applied rate of gains applied on the initial resell price of goods
    The commission rate are: For all FCL Containerised deals sold at CIP or FCA as per current incoterm 20 Percent per MT is the applied rate of gains applied on the initial resell price of goods.
    The buyer seller has discretion to apply such rates or less but not more.I.e: If non break cargo goods secured are $500 dollars per MT the Buyer/seller adds on top , in his wisdom 3.0% resell rate being 15.00 dollars per MT to which the seller /buyer declares $14.00 per MT as the official differential on resell.The buyer/seller declares to protects $2.50 per MT for all to share on the buy side and $2.50 per MT for all to share on the sell side.
    The buyer/seller is allowed to deduct up to USD $1.00 per MT to the nearest 10 cents for his benefit of unforeseeable expenses before declaring the actual rate and resell price applying to goods offered to en end buyer.
    Should a higher expense of operation become apparent, such is paid from the buyer/seller own personal gain secured.
    All final calculated commission payment is made to apply to the nearest 5 cents before portioning shares to SI
    In all case the defined and declared PI to the Buyer/seller is entitled up to 50 percent or more commission than any SI as applied at discretion of the buyer/seller. The Buyer seller may also privately choose to pay from his own gains an added premium to all PI's in a particular deal as applied at his discretion on top of the entitled rate.
    The skill and ability of the buyer/seller dictates the resell price depending upon they type of commodity being transacted upon including petroleum products.
    The later said matter of the FTN ‘Humano edict’ only applies to a transaction in where 5.0% of the buyer/seller personal gains made, is paid to his declared charity in exporters or importers country on behalf of himself all those named , associated in the transaction which has produced such a gain.
    The charity in question will be a globally recognized charity, which is supported by a well-informed Internet site carrying contact information.
    The buyer seller is not entitled to pay the fixed Humano rate contributions if his own earnings fall below 30 percent in where any contribution made, is made at his own discretion.
    All currencies in matter of commission applies at the same currency secured for payment of goods.

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URPIB Article 7:
Commission payment matters

    The Buyer/Seller buys goods from a supplier at one lower price then resells the same goods to the end Buyer at a higher price.
    The difference between the two amounts is defined as a gain to the buyer/seller and ‘commission’ to all other intermediaries involved in the deal being protected by the Buyer/seller.
    Although an element of transparency is preferable the Buyer/Seller is not under any obligation to disclose either his share or any other intermediary’s share of the commission.
    The Buyer/ Seller protecting the whole group is the only person allowed to issue pay orders to pay commissions.
    No master pay order is permitted in any form.
    As provided by the rules under UCP, ‘pay order’ shall also mean ‘Corporate issued UCP endorsed letter of credit’. ‘Corporate’ shall also mean ‘privately issued’.
    The pay order issuance or confirmation stands on three fronts and shall be described as ‘pre-advised’ and/ or ‘draft’ when being advised electronically or digitally.
    This pay order may be issued by electronic means if the country of the beneficiary’s bank so allows.
    The said 'three front' are as follows.
    (a) All person providing information to an URPIB buyer/seller leading the closing of a deal is entitled to commission whether a pay order is in place or not.(b0 In where an IPG may be advised first.(c) and in where the payment advice , application of method used or financial instrument supporting commission payment is advised when the DLC to pay for the goods being sold is lodged into the account of the buyer/seller and has been accepted by such within 5 days of such lodgement.
    The primary intermediary must collect the relevant personal details of each person seeking commission from a Buyer/Seller. No Post Office box addresses are allowed. Current banking information must be supplied for inclusion on each individual pay order. All draft and subsequent pay orders must be individually issued, naming a single beneficiary.
    Pay orders, once issued, cannot be reissued because of a mistake. All intermediaries are to ensure that all information is accurate from the start.
    It is unlawful to claim other forms of commission in the same transaction from any source. If any such fraudulent activities are discovered the Seller will advise his bank not to honour the commission pay order due to this person.
    The Buyer/Seller cannot collect upon his own gains/ commissions, until such time as the goods have been delivered.
    The Buyer/Seller is only obligated in the first instance to protect intermediaries’ interests in securing and collecting commissions on their behalf. When the deal is successfully and officially closed, payment of the promised commission to each beneficiary being protected by the Buyer/Seller is conducted in a safe manner.
    Before the formal transaction begins Buyer/Seller protecting both sides of the deal provides reassurance to intermediaries with the issuance of an IPG.
    An IPG " in Rem" or " in Personam" was advise signifies that the buyer/seller has acknowledged the sourcing intermediaries entitled to commission to a particular deal being enacted upon.
    To which one IPG issued or protection is enacted , such is automatically enacted to each individual being protected independently once information is disclosed to the buyer/seller. No commission is payable on any failed transaction, even if such failure is recorded after a financial instrument is issued.
    All claims that a transaction has failed after the DLC to pay for ordered goods has been lodged , regardless if accepted or not, must be supported by a letter from the issuing bank in a fully disclosed form whole and intact implying as much, a copy of which is provided to each protected intermediary