Court : Delhi
Decided on : May-22-1986
Reported in : AIR1986Delhi409; ILR1986Delhi320; 1986RLR472
..... expected a large profit, were not allowed to be exported, provided the court would give him relief against the inequitable enforcement of the indemnity clause in the contract with the stc.'(33) i am of the view that this observation of the supreme court, has to be read with its earlier ..... . the narrow issue that we propose to examine first is as to whether damani, the indigenous supplier, is not entitled to insulation from the indemnity clause, in the special circumstances of the case. counsel for damani, shri anil divan, conceded that if the liability to indemnify the stc as ..... to the respondents to, issue the necessary export license to the petitioner to export the balance quantity of 488 walnut, stumps against the firm contract entered into by the petitioners which arc covered by valid letters of credit. the petitioners be given the export license in accordance with the order ..... the next question is whether the constitutionality of the export (control) fifteenth amendment order, 1979 should be examined closely vis-a-vis pre-ban contracts. constitutional questions should be considered by courts only when it is absolutely necessary, not otherwise. in the present case, broadly speaking, we are not ..... in government of j&k; order no. 110- doh of 1979 dated 16-3-1979 provided they to produce to the licensing authorities valid contract and duly re-validated of fresh irrevocable letter of credit covering the said exports. they were also asked to contact the joint chief controller of .....Tag this Judgment!
Court : Supreme Court of India
Decided on : Apr-06-1986
Reported in : AIR1986SC1571; (1986)3CompLJ1(SC); 1986LabIC1312; (1986)IILLJ171SC; 1986(1)SCALE799; (1986)3SCC156; 2SCR278; 1986(2)SLJ320(SC)
..... at least in england, of this theory. in gillespie brothers & co. ltd. v. roy bowles transport ltd. 1973 (1) q.b. 400 where the question was whether an indemnity clause in a contract, on its true construction, relieved the indemnifier from liability arising to the indemnified from his own negligence, lord denning said (at pages 415-6) : the time may come when ..... at common law when it would be quite unconscionable for him to do so.in the above case the court of appeal negatived the defence of the indemnifier that the indemnity clause did not cover the negligence of the indemnified. it was in lloyds bank ltd. v. bundy 1974 (3) all e.r. 757 that lord denning first clearly enunciated ..... to contractual capacity, fraud and other invalidating causes; the policy also overlaps with rules which render particular bargains or terms unenforceable on grounds of public policy. policing against unconscionable contracts or terms has sometimes been accomplished by adverse construction of language, by manipulation of the rules of offer and acceptance or by determinations that the clause is contrary to public ..... observed (at page 1032), 'today the government, as a welfare state, _is the regulator and dispenser of special services and provider of a large number of benefits, including jobs, contracts, licences, quotas, mineral rights, etc.' the question in that case was whether the international airport authority constituted under the international airports authority act, 1971, came within the meaning of .....Tag this Judgment!
Court : Karnataka
Decided on : Feb-06-1986
Reported in : ILR1986KAR1773; 1986(2)KarLJ67
..... the act, is made and nothing else. to construe such a provision as one which takes away the right of the insured-employer to obtain indemnity under a contract of insurance, unless he becomes insolvent or makes a composition or a scheme of arrangement with his creditors or if the employer-insured is a ..... to it. we, therefore, hold that the provision in section 14 does not enable the insurance company (appellant) to avoid its liability under a contract of insurance issued specially for covering the employer's liability to a workman under the workmen's compensation act, to avoid such liability on the ground ..... or the winding up of a company has commenced, all the rights and remedies of such person or company enforceable against a third party under a contract, stand transferred to and vest in the official receiver or official assignee in the one case and official liquidator in the other. it is only ..... could see that it provides for transferring and vesting in the workman the rights and remedies which an employer may have against the insurer under a contract of insurance for the benefit of such workman, in the event of such employer becoming insolvent or making a composition or scheme of arrangement with his ..... of section 14 of the act--sub-section (1) of section 14 of the act reads thus :'(1) where any employer has entered into a contract with any insurers in respect of any workman, then in the event of the employer becoming insolvent or making a composition or scheme of arrangement with his .....Tag this Judgment!
Court : Karnataka
Decided on : Feb-06-1986
Reported in : 65CompCas596(Kar)
..... act, is made and nothing else. to construe such a provision as one which takes away the right of the insured-employer to obtain indemnity under a contract of insurance unless he becomes insolvent or makes a composition or a scheme of arrangement with his creditors or if the employer-insured is a ..... not there. we, therefore, hold that the provision in section 14 does not enable the insurance company (appellant) to avoid its liability under a contract of insurance issued specially for covering the employer's liability on the ground that the insured employer has not become insolvent, or made a composition or ..... the winding up of a company has commenced, all the rights and remedies of such person or company enforceable against a third party under a contract, stand transferred to and vest in the official receiver or official assignee in the one case and the official liquidator in the other. it is ..... could see that it provides for transferring and vesting in the workman the rights and remedies which an employer may have against the insurer under a contract of insurance for the benefit of such workman, in the event of such employer becoming insolvent or making composition or scheme of arrangement with his creditors ..... section 14 of the act- sub-section (1) of section 14 of the act reads thus: '(1) where any employer has entered into a contract with any insurer in respect of any liability under this act to any workman, then in the event of the employer becoming insolvent or making a composition .....Tag this Judgment!
Court : Supreme Court of India
Decided on : Aug-19-1986
Reported in : AIR1986SC1924; 61CompCas697(SC); JT1986(1)SC175; 1986(2)SCALE254; (1986)4SCC136; 1986(2)LC559(SC)
..... the issuing bank from recalling the amount paid under reserve from the negotiating bank, acting on behalf of the beneficiary against a documents of guarantee indemnity at the instance of the beneficiary. in dealing with the nature of a banker's obligation under an irrevocable letter of credit, the court observed ..... including the decision of this court in united commercial bank's case and held that the obligation of the allahabad bank under the letters of indemnity countersigned by the appellant was absolute and upon a demand being made by the shipping company i.e. the beneficiary, the bank was liable to ..... xxxix, rule 1 of the cpc, 1908 restraining the allahabad bank from making any payment to the shipping company in terms of the letters of indemnity and also restraining respondent no. 1 from recover ing the amount due thereunder.4. the high court has disallowed the application made by the appellant ..... realised the proceeds amounting to rs. 17,50,000. the shipping company having made a demand upon the allahabad bank to honour the letters of indemnity and the bank having called upon the appellant to pay the amount due, the appellant brought a suit in the original side of the calcutta ..... courts will leave the merchants to settle their disputes under the contracts by litigation or arbitration as available to them or stipulated in the contracts.6. we do not see why the same principles should not apply to a banker's letter of indemnity.7. accordingly, the appeal must fail and is dismissed with .....Tag this Judgment!
Court : Chennai
Decided on : Mar-26-1986
Reported in : (1987)1MLJ393
..... of the foreign sellers. in consideration of this guarantee being given first defendant and late sundaram chettiar executed a counter indemnity in favour of plaintiff bank on 13th october, 1966 (ex. a3). as per the contract, the -instalment payment commenced on 21st april, 1958 and 13 instalments were paid by the mill. the last ..... decreed, first defendant alone has preferred this appeal mainly confining its point about the effect of the application of act 57 of 1974 on the counter indemnity granted by it in favour of. the plaintiff. it is claimed that the right, title and interest of the principal debtor were transferred to the ..... of the directors, and the second defendant is his wife, and defendants 3 to 6 are his son and daughters. the mill entered into a contract with a japanese firm for the purchase of one kemitsu doubler winder with spares and accessories of the total value of rs. 43,50,000, japanese ..... no longer enforceable.7. mr. dolia, learned counsel for the first defendant, would refer to sections 56 and 132 to 136 of the contract act and plead that the performance under ex. a3 has become impossible by reason of an event, which first defendant could not contravene because ..... central government, and vested in the national textile corporation free from all liabilities and, therefore, the contract of guarantee became frustrated and unenforceable. due to supervening and subsequent change in law, it is beyond the control of the parties to stand by the .....Tag this Judgment!
Court : Delhi
Decided on : Aug-04-1986
Reported in : 68CompCas526(Delhi); 30(1986)DLT359
..... corporation has suffered a loss independently of the fact whether there is any claim made by the abu dhabi municipality on the basis of the original contract, the bank guarantee can be encased and the state trading corporation has absolute right to encash the same. we do not think that judgment ..... with the alleged dispute between the appellant and the respondent which must be decided independently on the basis of the terms of that contract, without involving the contract of bank guarantee.'learned additional solicitor general relies heavily on this passage and urges that irrespective of the fact whether the state trading ..... conclusion that there were two conditions required for encashing the bank guarantee-(a) the plaintiff should have committed a default in the performance of the contract and secondly, the corporation should submit a certificate to the bank which would be final and conclusive and binding on the bank. the learned ..... but at the final hearing, the injunction was discharged by m.k. chawla j. (3) it is the case of the appellant that the contract was frustrated as a result of the notification dated 15th may, 1985. and thus became impossible of performance. it is also claimed that the state ..... . 6,500.00 to rs. 7,500.00 , and thereforee, the contract which was at a lower price could not be carried into effect. the claim, thereforee, is that the state trading corporation cannot enforce the indemnity bond and reliance was placed on a judgment of the supreme court reported as .....Tag this Judgment!
Court : Customs Excise and Service Tax Appellate Tribunal CESTAT Calcutta
Decided on : Nov-26-1986
Reported in : (1987)(13)LC717Tri(Kol.)kata
..... (control) fifteenth amendment order, 1979 came into force which imposed a complete ban on export of silver including plebian contracts. the agreement between the dealer and the state trading corporation contained an indemnity clause according to which in case the contract with foreign buyer could not be performed the dealer undertook to indemnify the state trading corporation. it was held that ..... not by the high court. the learned advocate for the respondent cannot, therefore, question the propriety of the high court's proceeding on the basis of assumption regarding the contract.the high court is also not precluded from discussing the issues and recording its findings although the writ petition may be premature.45. amongst the other reasons which shri ..... .1 of the adjudication order in appeal no. c- 24/85-cal, to the effect that the importers should have sought clarifications from the concerned authorities before entering into any contract with the foreign suppliers and said that because of those observations he would like to submit the following documents as additional evidence: - (i) copy of letter in (p) ..... even though the contract to export silver related to pre-ban period, the court would not interfere with the government order .....Tag this Judgment!
Court : Mumbai
Decided on : Aug-20-1986
Reported in : 1986(3)BomCR422
..... 'general counter guarantee'. this document recorded complainant's undertaking to indemnify the bank of india against loss incurred by the neglect or failure of the parikh brothers to perform the contract. the indemnity was however not to exceed a sum of rs. 8,00,000.00 pursuant to the execution of the counter-guarantee, the kuwait finance house communicated the terms of ..... striking of the deal whereupon he executed the counter performance guarantee rendering him liable to the extent of rs. 8,00,000/- vis-a-vis the execution of the barley contract by parikh brothers. he complained of being kept in ignorance about the parikh brothers' poor reputation for credit-worthiness. it was clarified that the advance of rs. 13,50,000 ..... bazar branch was willing to furnish the 5% performance guarantee, provided complainant guaranteed performance on behalf of parikh brothers, that parikh brothers had a highly rated credit-worthiness; that the contract was to be performed shortly and swiftly, that for a small risk of rs. 8,00,000/-, complainant would be getting commission at rate 2% covering the value of the ..... style of parikh brothers. this firm was in the export-import business. mayur exports of india had entered into a contract with kuwait supply co. of kuwait to sell to the latter 8,000 metric tonnes of barley. mayur exports assigned the contract undertaken by it to m/s. parikh brothers with the concurrence of kuwait supply co. to facilitate the execution .....Tag this Judgment!
Court : Madhya Pradesh
Decided on : Oct-08-1986
Reported in : 1987MPLJ358
..... the persons so interested, the advantage so gained, but subject to repayment of such persons of their due share of the expenses properly incurred, and to an indemnity by the same persons against liabilities properly contracted, in gaining such advantage.'4. respondents counsel shri lahoti, while refuting the contentions pressed by shri jain, has cited decisions, to which i shall advert in .....Tag this Judgment!