Specifications

2
or not the supplier has committed breach or breaches of any of the terms and conditions of the
said purchase order and the extent of loss, damages, cost, charges or expenses suffered or
incurred by the Purchaser on account thereof. The guarantor hereby guarantees and
undertakes to release & pay immediately the amount of Rs.________________ to the
Purchaser on receipt of written instructions from the Purchaser and the supplier shall not have
any right to interfere. The right to get the Bank Guarantee encashed shall rest with the
Purchaser solely at its discretion without assigning any reason whatsoever.
The guarantor further agrees that this guarantee shall remain in full force and effect for
60 months from the date of its issue in the first instance. This guarantee shall be revalidated
subsequently, if required, under clause 14 of the said purchase order so as to cover the
Warranty period as per Clause-12 of the said purchase order and also till such time any claim
of the Purchaser is pending against the supplier.
The guarantor also agrees and undertakes not to revoke this guarantee before the
same is discharged as aforesaid except with the previous consent of the Purchaser in writing.
The Guarantor hereby further agrees that the Purchaser shall have the fullest liberty
without affecting in any manner obligation of the guarantor hereunder with or without the
consent of the guarantor to vary any of the terms of the said purchase order or to extend from
time to time or to postpone for any time or from time to time any of the powers exercise-able
by the Purchaser against the supplier and either to forebear or enforce any of the terms or
conditions relating to the said purchase order and the Guarantor shall not be relieved from his
liability by reason of any variations or any extension being granted to the supplier or for any
forbearance, act or commission on the part of the Purchaser, or any indulgence by the
Purchaser to the supplier or by any such matter or thing whatsoever which under the law
relating to sureties would but for this provision have effect of so relieving the guarantor, nor
shall it be necessary for the Purchaser to sue the supplier before suing the said guarantor for
the amount/damages due under this deed of guarantee.
The guarantor hereby further affirms and declares that this guarantee has been
executed by their lawfully constituted attorney legally competent to sign and Execute and has
been stamped as required for such guarantees under the relevant Act of the State in which it
has been executed and signed and the guarantee herein before contained shall not be
affected by any change in the Constitution of the Guarantor (Bank) or the Constitution of the
supplier.
The Guarantor hereby further agrees that any claim or dispute arising under this deed
shall fall within the exclusive jurisdiction of courts at Chandigarh.
Notwithstanding, anything herein before contained the Guarantor’s liability under this
guarantee is restricted to Rs.____________ (Rupees__________________).The guarantee
shall remain valid upto_________. Unless claim in writing is presented to the guarantor within
six months from that date and if unpaid, a suit or action to enforce such claim under this
guarantee is filed against the guarantor within said period of six months, all the rights of the
Purchaser under the said guarantee shall be forfeited and the guarantor shall be released and
discharged from all liability there under.
In witness whereof the parties hereto have put their perspective hands on the day and
the year first above mentioned.
Witness: For & on behalf of the Guarantor:
1. Signatures:_____________
2. Name & Designation_______
________________________
Witness: For and on behalf of the Supplier.
1. Signatures:______________
2. Name & Designation_______
_______________________
Witness: For and on behalf of the Purchaser.
1. Signatures:_______________
2. Name & Designation_______
________________________