Case Law Analysis
|Madhya Pradesh High Court
Contractual Dispute Resolution Clause Mandates Exhaustion Before Bank Guarantee Encashment : MP HC Indore
MP High Court rules that invoking a performance bank guarantee without first exhausting contractual dispute resolution mechanisms violates agreement terms and natural justice. The ruling reinforces that parties must adhere to prescribed contractual remedies before resorting to bank guarantee encashment, impacting construction contracts and commercial agreements.