bank guarantee, specifying as to when the bank guarantee should be
invoked by the benefciary, does not make the bank guarantee conditional or
contingent ... Bank Guarantee as to when the benefciary / Mahtanis can
proceed to invoke the Suit Bank Guarantee, cannot make the Suit Bank Guarantee
conditional and render
guarantee is unconditional and irrevocable bank guarantee and if the said bank guarantee refers to underlying contract, then the clauses in the bank guarantee ... bank guarantee was termed as unconditional and irrevocable bank guarantee, the said bank guarantee cannot be said to be unconditional bank guarantee. The relevant portion
Guarantee or the person on whose behalf the Guarantee was
furnished. The terms of the Bank Guarantee are, therefore,
extremely material. Since the Bank Guarantee ... guarantee. I have perused the bank
guarantee. The bank guarantee clearly stipulates "....in the event of the non-
fulfillment of the terms and conditions
earnest money bank guarantee of Rs 50 crores.
It is the case of the plaintiff that earnest money bank
guarantee is conditional bank guarantee which ... wrongful invocation of the bank
guarantee. Thus invocation of the bank guarantee is not a mindless
matter and the guarantee cannot be invoked
invocation of Bank Guarantee on the
principle that the guarantee is absolute and
unconditional. The guarantee in the present case is
conditional to the extent ... preamble of the deed of guarantee does not make the
guarantee furnished by the bank to be a conditional one."
28. In Vinitec Electronic
down payment,
bank guarantee and performance bank guarantee. As stipulated, FGIPL issued the
Down Payment Bank Guarantee and Performance Bank Guarantee in favour of
TCTPL ... Supreme Court, whilst interpreting the said Guarantee held that
the Bank Guarantee was conditional by observing in paragraphs 13 and 14 of its Order
back up area is not covered by the said Guarantee
and the Guarantee is conditional upon failure of the Plaintiff to construct Container
Terminal ... Guarantee or the person on whose behalf
the Guarantee was furnished. The terms of the Bank Guarantee are,
therefore, extremely material. Since the Bank Guarantee
hold so would be to make almost every
(unconditional) Bank Guarantee conditional.
(iv) Reliance was placed on the judgments of the Apex Court in Ansal ... under this Guarantee.
18. It is therefore clear that Article 1 of the Advance
Bank Guarantee as well as the Performance Bank Guarantee
have only
guarantee, apart from the fact
that the said bank guarantee is an advance bank
guarantee, the same can be said to be an conditional
bank ... preamble of
the deed of guarantee does not make
the guarantee furnished by the bank to
be a conditional one. (Para 22 and 28)
[Emphasis
second respondent by way of a performance guarantee is a conditional guarantee and therefore, the legal position applicable to a letter of credit ... which is the subject matter of these appeals is not a conditional guarantee.
23.The judgment relied upon by the learned counsel for the appellant
