Injunction – Bank guarantee – Second exception to the rule – there would be no possibility whatsoever of the recovery of the amount from the beneficiary

Injunction – Interlocutory injunction  – Bank guarantee – Second exception to the rule of granting injunction, i.e, the resulting of irretrievable injury, has to be such a circumstance which would make it impossible for the guarantor to reimburse himself, if he ultimately succeeds –  This will have to be decisively established and it must be proved to the satisfaction of the court that there would be no possibility whatsoever of the recovery of the amount from the beneficiary, by way of restitution

1997 PLRonline 0008

.Dwarikesh Sugar Industries Ltd. v. Prem Heavy Engineering Works (P) Ltd., (1997) 6 SCC 450, 1997 PLRonline 0008