Scribd
Upload
242 views3 pages

Performance Bank Guarantee

1. This document is a performance bank guarantee provided by a bank to Petronet CCK Limited for a supplier who was awarded a contract for the supply of materials/equipment. 2. The bank guarantees to pay Petronet CCK Limited up to 10% of the contract price if the supplier fails to perform according to the contract. 3. The bank guarantee is valid until a specified date and can be extended, but the bank's liability is restricted to a maximum amount stated in rupees.

Uploaded by

Utsav Khaitan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
242 views3 pages

Performance Bank Guarantee

1. This document is a performance bank guarantee provided by a bank to Petronet CCK Limited for a supplier who was awarded a contract for the supply of materials/equipment. 2. The bank guarantees to pay Petronet CCK Limited up to 10% of the contract price if the supplier fails to perform according to the contract. 3. The bank guarantee is valid until a specified date and can be extended, but the bank's liability is restricted to a maximum amount stated in rupees.

Uploaded by

Utsav Khaitan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
You are on page 1/ 3

CONTRACT-CUM-EQUIPMENT PERFORMANCE BANK GUARANTEE

(PERFORMANCE SECURITY) – UNCONDITIONAL


(To be stamped in accordance with stamp act)

Ref:
Bank Guarantee No. :

Date :

To

Petronet CCK Limited


(C/o.Bharat Petroleum Corporation Limited)
Irimpanam,
Cochin – 682 309
Kerala (India)

Dear Sirs,

In consideration of the PETRONET CCK LIMITED, Cochin (India) (herein referred to as the
OWNER / PURCHASER which expression shall unless repugnant to the context or meaning
thereof include successors, administrators and assigns) having awarded to M/s.
_____________________________ having principal office at __________________________
(hereinafter referred to as the “SELLER” which expression shall unless repugnant to the context
or meaning thereof include their respective successors, administrators, executors and assigns)
the supply by issue of OWNER / PURCHASER’s Purchase Order No.___________________
dated ________________ and the same having been accepted by the Seller resulting into
CONTRACT for supplies of materials / equipments as per above referred Purchase Order
having a total value of ____________________ for the complete supply of materials /
equipments and the SELLERS having agreed to provide a Contract Performance and warranty
guarantee for faithful performance of the aforementioned Contract and warrantee quality
_________ to OWNER / PURCHASE.

We (Bank) _______________________ having Head Office at (hereinafter referred to as the Bank,


which expressly shall, unless repugnant to the context or meaning thereof include successors,
administrators, executors and assigns) do hereby guarantee to undertake to pay the OWNER /
PURCHASER on demand any and all moneys payable by the Seller to the extent of 10% (ten
percent) of the Contract Prices as aforesaid at any time up to _____________________ without a
reference to the SELLER. Any such demand made by OWNER / PURCHASER on bank shall
be inclusive and binding not withstanding any difference between OWNER/PURCHASER and
SELLER discharges this guarantee. OWNER/PURCHASER and SELLER shall have the fullest
liberty without affecting in any way the liability of BANK under this guarantee from time to
time to extend the time for performance by SELLER of the afore mentioned CONTRACT.
OWNER / PURCHASER shall have the fullest liberty, without affecting this guarantee, to
postpone from time to time the exercise of any power vested in them or of any right which they
might have against SELLER, and to exercise the same at any time in any manner, and either to
enforce to forebear to enforce any covenants contained or implied, in the aforementioned
CONTRACT between OWNER/PURCHASER and SELLER or any other course of or remedy or
security available to OWNER/PURCHASER. The BANK shall not be released of its obligations
under these presents by any exercise by OWNER/PURCHASER of its liability with reference to
the matters aforesaid or any of them or by reason or any other acts of omission or commission
on the part of OWNER/PURCHASER or any other indulgence shown by
OWNER/PURCHASER or by any other matter or thing whatsoever which under law would,
but for this provision, have the effect or relieving the BANK. The BANK also agrees that
OWNER/PURCHASER at its option shall be entitled to enforced this Guarantee against the
BANK as a Principal debtor, in the first instance without proceeding against SELLER and
notwithstanding any security or other guarantee that OWNER/PURCHASER may have in
relation to the SELLER’s liabilities.

Notwithstanding anything to the contrary contained herein, before, our liability under this
guarantee is restricted to ______________________ (Rupees
_______________________________________). Our guarantee shall remain in force until
________________. Unless a claim or demand in writing is made against us under this
guarantee, before the expiry of three months from the aforesaid date, i.e. before __________ , all
your rights under the said guarantee shall be forfeited and we shall be relieved and discharged
from all liabilities thereunder.

Notwithstanding anything contained herein above our liability under this Guarantees restricted
to AND it shall remain in force upto and including _________ and shall be extended from time
to time for such period as may be desired by the SELLER on whose behalf this Guarantee has
been given.
The Bank Guarantee’s payment of an amount is payable on demand and in any case within 24
hours of the presentation of the letter of invocation of Bank Guarantee. Should the banker fail
to release payment on demand, a penal interest @24% per annum shall become payable
immediately and any dispute arising out of or in relation to the said Bank Guarantee shall be
subject to the Jurisdiction of Cochin Courts.
Therefore, we hereby affirm that we are guarantors and responsible to you on behalf of the
seller up to a total amount of (amount of guarantees in words and figures) and we undertake to
pay you, upon your first written demand declaring the seller to be in default under the contract
and without caveat or argument, any sum or sums within the limits of (amount of guarantee) as
aforesaid, without your needing to prove or show grounds or reasons for your demand or the
sum specified therein.

This guarantee is valid until the _____ day of _________200

We have power to issue this guarantee in your favour under Memorandum and Article of
Association and the undersigned has full powers to do so under the Power of Attorney/
Resolution of the Board of Directors dated _______ accorded to him by the bank.

Dated The _______ day of ____________200


WITNESS:
(SIGNATURE) (SIGNATURE)
BANK RUBBER STAMP
(NAME)
(NAME) Designation with bank stamp
STAMP Plus Attorney as per Power
(OFFICIAL SEAL) of Attorney/Resolution
Board of
Directors

Date :

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy