First National Bank opened a letter of credit in favor of ABC Co., a U.S. company, for ABC's sale of goods to Country X,

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First National Bank opened a letter of credit in favor of ABC Co., a U.S. company, for ABC's sale of goods to Country X,

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First National Bank opened a letter of credit in favor of ABC Co., a U.S. company, for ABC's sale of goods to Country X, a foreign country that participates in a boycott. The letter of credit contains no boycott provisions, but First National Bank knows that ABC Co. has agreed to supply a certification to Country X that ABC has not dealt with any blacklisted firms as a condition of receiving the letter of credit in its favor. What should First National Bank do?

A. Implement the letter of credit because there is no boycott language on its face
B. Require ABC to indemnify the bank against any potential loss for participation in a boycott
C. Not implement the letter of credit
D. Have the letter of credit confirmed by a bank in Country X
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