Case Law Analysis
|Bombay High Court
Section 17 Arbitration Act | Bank Guarantee Invocation Permitted but Payment Suspended Under Interim Relief: Bombay HC
Bombay High Court rules that while invocation of bank guarantees during arbitration is not barred, payment must be suspended under Section 17 interim orders to balance parties' interests. The ruling clarifies that arbitral tribunals can restrain encashment pending final award, ensuring equitable relief in commercial disputes.