Court : Delhi
Decided on : Apr-23-1990
Reported in : II(1990)BC51; 73CompCas701(Delhi); 41(1990)DLT359; 1990RLR252
..... given is called the 'creditor'. a guarantee may be either oral or written. a promise to be primarily and independently liable for another persons conduct may amount to a contract of indemnity. a contract of guarantee requires concurrence of three persons-the principal debtor, the surety and the creditor-the surety undertaking an obligation at the request express or implied of the principal ..... debtor. the obligation of the surety depends substantially on the principal debtor's default; under a contract of indemnity liability arises from loss caused to the promiseby conduct of the promisor himself or by the conduct of another person'. (55) in view of the aforesaid law declared by ..... the conduct of any other person, is called a 'contract of indemnity', section 126 defines a contract of guarantee. it states : 'a contract of guarantee is a contract to perform the promise, or discharge the liability, of a third person in case of his default. the person who gives the ..... sri bikram cotton mill ltd. and another). justice shah and justice cover considered the provisions of sections 124 and 126 of the contract act, and observed as under :- 'section 124 of the indian contract act defines a 'contract of indemnity'. a contract by which one party promises to save the other from loss caused to him by the conduct of the promisor himself, or by .....Tag this Judgment!
Court : Karnataka
Decided on : Dec-20-1990
Reported in : AIR1992Kant108
..... debtor are in the nature of public policy because it is the policy of law and that the persons who enter into a contract of indemnity and guarantee should have certain rights and liabilities. as otherwise it is likely that the creditor being in a dominating position may exploit ..... sureties?point no. 19. chapter viii of the indian contract act, 1872 (hereinafter referred to as the 'act') deals with indemnity and guarantee. section 124 defines the expression 'contract of indemnity'; section 125 defines 'rights of indemnity holder when sued; section 126 defines the expressions 'contract of guarantee', 'surety', 'principal debtor' and 'debtor'. ..... the hapless position of a person seeking credit and may compel the persons seeking credit and the persons furnishing guarantee and indemnity to agree to the terms which in the very nature of things wilt be inquititious, unjust and unconscionable. it is submitted that it ..... law or is not enforceable.'11. we are of the view that as the provisions contained in chapter v11i of the act relate to indemnity and guarantee, they deal with one subject and they are to be read together. the liability of the surety as stated in general terms ..... decision.27. in maharashtra state electricity board, bombay v. official liquidator, high court, ernakulam : 1scr561 secs. 128 and 134 of the contract act were considered. on the basis of the provisions contained in those sections it was held that the surety bank's liability is co-extensive .....Tag this Judgment!
Court : Kolkata
Decided on : Jul-20-1990
Reported in : (1991)2CALLT75(HC),1991(33)ECC205,1991(53)ELT524(Cal)
..... prohibiting export of silver and even if the foreign buyer claims damages from the state trading corporation for breach of contract due to ban of export of silver the state trading: corporation would not be allowed to enforce the indemnity contract against the exporting policy in view of the equitable considerations. it was made clear that the constitutional questions should be ..... fifteen (amendment) order (1979) came into force which imposed a complete ban on export of silver including pre-ban 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 in ..... of such goods has to be registered prior to importation of the said goods with the textile commissioner of the government of india and it is only after the contracts are registered with the said textile commissioner and appropriate registration number is granted by the said authority, one can import the subject consignment accordingly. the allegation of the ..... the circumstances of the said case even though the contract to export silver related to pre-ban period, the court .....Tag this Judgment!
Court : Delhi
Decided on : Nov-23-1990
Reported in : 1991(1)ARBLR157(Delhi); I(1991)BC254; 1991(20)DRJ154
..... guarantee in respect to performance bonds contending that a performance guarantee was in the nature of contract of security as envisaged by section 126 of the indian contract act, for the reason that it was not a bipartite agreement as in the case of a contract of indemnity, but a tripartite one, in (he sense that it always involved three parties, namely ..... 225.000.00 (rupees twenty one million two hundred twenty five thousand only) and the recovery of mobilisation advance from running bills account will be in accordance with the contract, the guarantee against such amounts of mobilisation advance as so recovered shall be treated towards performance guarantee with the intent that after recovery of mobilisation advance in full, ..... making deductions prorata towards recovery of mobilisation advance.(8) in between, the appellants, in awareness of the liability to furnish performance bonds in terms of clause 8 of the contract, and after the bank guarantee towards mobilisation advance had been furnished on 28th october, 1986, approached getsco by letter dated 3rd september, 1987 proposing submission of a composite bank ..... , the principal debtor at whose instance the security is furnished or guarantee given, the guarantor and the beneficiary. accordingly, he argued, the bank guarantee in the present case in so far as it covered the performance bonds was essentially in the nature of a contract .....Tag this Judgment!
Court : Mumbai
Decided on : Jan-30-1990
Reported in : 1991ACJ22
..... to entertain the contention that the liability in respect of the tortfeasor himself would be covered by the insurance company and that the tortfeasor under the contract of indemnity could ask the insurer in the event of his rashness or negligence to pay compensation to him or under the law of torts. we, therefore, ..... us that the insurer had not taken the liability for the death of or bodily injury to the owner either under the statutory provisions or under the contract of insurance.9. the counsel agreed that no fault liability in respect of even devidas has been discharged by the insurer by paying rs. 15,000 ..... ' is the minimum liability, but there is nothing in the act which can prohibit the insurance company from expanding limits of its liability by a contract of insurance.evidently by paying extra premium the liability has not been extended in the present case so as to include the risk to the owner and ..... was one of the passengers travelling in the jeep and the risk so far as pertained to him was covered by the special term of the contract of insurance under which the liability in respect of six passengers and the driver had been undertaken by the insurer by paying extra premium of rs. ..... the finding on this point. the only points which are being raised by the appellant are that there was no liability either statutory or under the contract of insurance on him to indemnify the claim made by the legal representatives of the deceased devidas who was, by virtue of his being a partner .....Tag this Judgment!
Court : Kerala
Decided on : Oct-11-1990
Reported in : 1991ACJ101
..... place not in a public place, there can be a valid defence for the insurance company to get itself exonerated from the liability on the ground that the contract of insurance is a contract of indemnity and by the insurance policy, the company has undertaken to indemnify the loss that would have been occasioned to the owner, in case he is compelled to ..... prudence would, under similar circumstances, take of his own goods of same bulk, quality and value as the goods bailed. for all intents and purposes as long as the contract of bailment continues, there is nothing wrong in deeming the bailee as the owner of the goods bailed. we will consider the effect of a motor accident caused by the ..... is called the bailor. the person to whom they are delivered is called the bailee. the obligation and responsibility of a bailee are delineated in section 151 of the indian contract act and it postulates that in all cases of bailment, the bailee is bound to take as much care of the goods bailed to him as a man of ordinary ..... was in the custody of the appellant and that custody was that of a bailee. section 148 of the indian contract act, defines bailment. bailment is the delivery of goods by one person to another for some purpose, upon a contract that they shall when the purpose is accomplished be returned or otherwise disposed of according to the directions of the person .....Tag this Judgment!
Court : Andhra Pradesh
Decided on : Apr-09-1990
Reported in : 1990ACJ971; AIR1991AP323
..... the workmen's compensation act. the abovesaid provision accepts the requirement of a policy in the cases contemplated thereunder and it has alsonot excluded the insurer from entering into a contract of indemnity to cover circumstances and conditions countenanced by the provision. because of this statutory entitlement, an employee or his legal representatives are entitled to exercise option under s. 110-aa ..... in the vehicle, or (ii) except where the vehicle is a vehicle in which passengers are carried for hire or reward or by reason of or in pursuance of a contract of employment, to cover liability in respect of the death of or bodily injury to persons being carried in or upon or entering or mounting or alighting from the vehicle .....Tag this Judgment!
Court : Andhra Pradesh
Decided on : Apr-09-1990
Reported in : II(1990)ACC591
..... compensation act. the above said provision accepts the requirement of a policy in the cases contemplated there under and it has also not excluded the insurer from entering into a contract of indemnity to cover circumstances and conditions countenanced by the provision. because of the statutory entitlement, an employee or his legal representatives are entitled to exercise option under section 110-a ..... in the vehicle, or(ii) except where the vehicle is a vehicle in which passengers are carried for-hire or reward or by reason of or in pursuance of a contract of employment, to cover liability in respect of death of or bodily injury to persons being carried in or upon or entering or mounting or alighting from the vehicle at .....Tag this Judgment!
Court : Punjab and Haryana
Decided on : Dec-19-1990
Reported in : 1991ACJ1091; (1991)99PLR300
..... , he can sue for damages under section 22 of the act and the claim application will be tried under the provisions of chapter 3 of the act. a contract of insurance is a contract of indemnity. under the terms of the policy, the insurer has undertakes to indemnify the insured against all the sums to which the insured shall become liable in respect .....Tag this Judgment!
Court : Chennai
Decided on : Sep-07-1990
Reported in : (1991)44MLJ1
..... to be ruled out on adjudication on merits, that could as well be done after the rule is complied with. this claim for contribution or indemnity need not necessarily arise from contract, and it could have basis in equity also.3. on the pleas raised, i am not able to say that even a prima facie case ..... to have the impleading so that the claim for contribution or indemnity as against the third party as per the pleas of the defendant could be settled in the very same suit itself, there will be a justification for ordering ..... per chance, he fails in his defence against the plaintiff, which will give rise to a cause of action for him to claim contribution or indemnity against a third party, need not be driven to resort to an independent suit against such third party in respect of the claim for contribution or ..... this revision is directed against the order of the court below.2. obviously, the defendants are claiming to be entitled to contribution from or indemnity against the second respondent. it is true that the court is bound to find out as to whether the defendant is entitled to any contribution or ..... indemnity before this provision is resorted to. but while considering this question, if the materials disclosed, prima, facie make out a case for the defendant .....Tag this Judgment!