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Himadri Chemicals Industries Ltd vs Coal Tar Refining Company on 7 August, 2007

The Apex Court has held that there are two exceptions when the Courts can grant an order of injunction in favour of an aggrieved party in the matter of encashment of Bank Guarantee or a Letter of Credit and those are at ::: Downloaded on - 09/06/2013 17:33:32 ::: 29 Sr.Nos.(v) and (vi) above. Shri S.C.Mehadia, the learned Counsel, submits that the Bank Guarantee furnished in question, is an unconditional one and the existence of any dispute between the parties to the contract, is not a ground for issuing an order of injunction to restrain the enforcement of a Bank Guarantees or Letters of Credit. According to him, the Trial Court should not have even gone into the dispute in respect of compliance of the conditions. He further submits that there is no case made out, falling in any of two exceptions, laid down by the Apex Court.
Supreme Court of India Cites 4 - Cited by 256 - T Chatterjee - Full Document
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