GEO TECH CONSTRUCTION COMPANY PRIVATE LIMITEDLTD Vs. HINDUSTAN STEEL WORKS CONSTRUCTION LIMITED COCHIN

JUDGEMENT

(1.) The cardinal dispute for adjudication in this appeal revolves around the invocation of Bank guarantees executed in terms of an agreement for performance of a works contract. The question is whether the appellant is entitled to a temporary injunction restraining the respondents from enforcing the Bank guarantees executed by the second respondent on behalf of the appellant in favour of the first respondent. The plaintiff, M/s. Geo-Tech Constructions Co. Pvt. Ltd. (hereinafter referred to as 'Geo-Tech') is the appellant and the first respondent M/s. Hindustan Steel Works Construction Ltd. (hereinafter called by acronym 'H.S.C.L.') is the first respondent in the suit. The State Bank of Travancore, M.G. Road Ernakulam is the second defendant. The appeal is directed against the order of the First Additional Sub Judge, Ernakulam in an interim application, LA. No. 1908 of 1998 in O.S. No. 236 of 1998.

(2.) The above suit was filed praying for a decree on the following terms

(3.) The factual situation behind the suit as well as the interim application as reflected from the plaint and the affidavit filed by the appellant is analysed hereunder in a condensed form.