short) reads thus:-
"127. CONSIDERATION FOR GUARANTEE. - Anything done, or any promise made, for the benefit of the principal debtor, may be sufficient consideration ... past consideration is also good consideration,
26. In Kali Charan's case, it was contended that the surety bond was without consideration, because
consideration. The original consideration which proceeded from the bank to the 1st defendant cannot from the consideration for the guarantee. Therefore, facts ... surety's giving the guarantee, the guarantee bond executed by M fell for want of consideration. According to the learned judges, though the surety
held "Thus a
past consideration is not a sufficient consideration of a contract of
guarantee". Reference is also made in the award ... accepted. I hold that a past consideration is a
sufficient consideration for the contract of guarantee.
22. The arbitrator has while applying illustration
provided C will guarantee the payment of the price of the goods. C promises to guarantee the payment in consideration of As promise to deliver ... surety for giving the guarantee.
For the validity of a contract of guarantee, it is adequate consideration if anything is done or any promise made
held "Thus a
past consideration is not a sufficient consideration of a contract of
guarantee". Reference is also made in the award ... accepted. I hold that a past consideration is a
sufficient consideration for the contract of guarantee.
22. The arbitrator has while applying illustration
North America as consideration to the
claimant. The minimum guarantee consideration is also
provided in the agreement. For the first year minimum
guarantee consideration amount ... paid and 500,000 USD
is still due as minimum guarantee consideration. Apart from
this, 10% of revenue received is also to be considered
second year to the claimant by the respondent.
However minimum guarantee consideration payable to the
claimant is 300,000 USD in 1 st year ... payment of the minimum guarantee amount from
the second quarter of the second year. In the first year,
minimum guarantee consideration amount
India3 , the
Constitution Bench held that recording of reasons :
(i) guarantee consideration by the authority; (ii) introduce clarity
in the decisions; and (iii) minimise chances
more in
line with that of the American Courts. An important
consideration which has weighed with the Court for
holding that an administrative authority exercising ... this view are
that the requirement of recording reasons would (i)
guarantee consideration by the authority; (ii) introduce
clarity in the decisions; and (iii) minimise
land was
created without any counter guarantee from the related party and with no other
consideration being paid to the corporate debtor. The Tribunal ... unencumbered land of the corporate debtor without any
consideration or counter guarantee cannot be treated as transfer in the
ordinary course of business or financial
