https://www.taxtmi.com/caselaws?id=307016 On-demand bank guarantees operate independently of the underlying contract and are ordinarily enforceable according to their terms. Court intervention is limited to established egregious fraud connected with the beneficiary's demand or irretrievable injustice. A demand that treats a supplier as wholly in default despite the beneficiary's cancellation or suspension of contractual performance may support prima facie interim protection on grounds of fraud. Interim security arrangements may also be varied rather than treated as fixed, where prior invocation has adjusted part of the secured amount. Continuing security for the balance may preserve restitutionary equities while protecting contractual autonomy, subject to further arbitral directions. en-us Fri, 24 Sep 2010 00:00:00 +0530 Mon, 13 Mar 2023 16:02:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=307016 On-demand bank guarantees operate independently of the underlying contract and are ordinarily enforceable according to their terms. Court intervention is limited to established egregious fraud connected with the beneficiary's demand or irretrievable injustice. A demand that treats a supplier as wholly in default despite the beneficiary's cancellation or suspension of contractual performance may support prima facie interim protection on grounds of fraud. Interim security arrangements may also be varied rather than treated as fixed, where prior invocation has adjusted part of the secured amount. Continuing security for the balance may preserve restitutionary equities while protecting contractual autonomy, subject to further arbitral directions. Case-Laws Indian Laws Fri, 24 Sep 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=307016