الملخص الإنجليزي
The banking letter of guarantee is considered as one of the pioneer credit banking services provided
by the banks due to its importance to the companies, whereas, the letter of guarantee is a banking
service provided by the bank to its customers to facilitate their transaction with governmental and
private sector entities.
Given the prevalence of this kind of transaction nowadays, hence, there is an urgent need to state
the position of Omani legislation in comparison with other Arab legislations in order to identify
shortcomings or deficiencies in the Omani legislation.
The issue regarding these sorts of transaction consists in: 1- the knowledge of the legal provisions
governing the letter of guarantee under the Omani law? 2- the legal qualification of the letter of
guarantee? 3- the compatibility of the provisions of the letter of guarantee with the contractual
provisions set out in the general rules? 4- what are the legal remedies to the problems arising
between the parties of the letter of guarantee? What are the legal implications of the letter of
guarantee under the Omani law? All of the above calls for research and investigation to
demonstrate appropriate solutions to the problems that may arise out of the letter of guarantee
transaction.
Based on the above issues, this study aims to set out the legal provisions in order to reach the
answers to the problems raised above in accordance with the Omani Trade Law promulgated by
Royal Decree No. 55/1990.
