The text of performance bank guarantee (P.B.G.):
To: Bank ...
.............. Branch .............. 19 ...........
Dear Sirs:
At request of .................................... please issue on our full
responsibility and against our counter guarantee No:............... your
performance guarantee for .................................... in favor of
.............................................. as follows:
Quote
Unconditional bank guarantee:
With ref. to the contract relating to
.................................... quantity and description of goods
concluded between government trading corporation of Iran G.T.C. and name
of your company ……by the request ........................ name of your bank for
the good performance of the undertaking accepted in accordance with the said
contract in respect of .................................... quantity and
description of goods we hereby guarantee and undertake, if it is noticed by the
G.T.C. that
........................................................................ name
of your company has offended from their liabilities under the contract, to pay
immediately after receipt of the first written demand to or to the order of the
G.T.C. up to a total of: ........................................................................
Amount of bank
guarantee in ......................... any amount in respect of this guarantee
under any subject or reason ascertained by the G.T.C. without any need
for issuance of declaration form or execution of any action through
administrative legal or other authority or proving the neglect untruth or
correctness. This letter of guarantee is valid until the official closing time
on ........................................................................
Please insert the date which is three months after the last date of shipment
period and is extendable for additional three months if required by the G.T.C.
Should the bank be not able or willing to extend the validity hereof or the
guarantee party should not provide the necessities of extension and obtain the
concurrence of the bank of the extension, then the bank undertakes to pay
without any need for a second demand, the said sum in favor of to the order of
the G.T.C.
Unquote
Please note the text of unconditional performance bank guarantee U.P.B.G.
must be exactly in conformity with the above mentioned draft.
For your kind information, Bank ... will not issue the P.B.G.
even if a slight change is made to the above text or if there is a
typographical error.
The text of counter guarantee (to be issued in favour of Bank ..., central
branch, Tehran, by your banker:
Quote
in consideration of your issuing at our request a guarantee in favor
.................................... hereinafter called ''The
beneficiaries'' for the amount of .................................... as
requested above, we (name of the bank) hereinafter called ''The Bank''
hereby irrevocably and unconditionally undertake to indemnify you against all
losses, expenses or damages which may arise out of any claim made as result of
your having given such a guarantee, and we hereby undertake to reimburse you
without delay and at your first simple cable/telex demand, any amount you may
be called upon to pay under the said guarantee, without it being necessary for
you to produce or adduce any proof (s) or any judicial or administrative
proceedings whatsoever in support of your claim. We further agree that any
request made upon you by the beneficiaries for payment of any sum shall
constitute a sufficient authority to you for making such payment without any
obligation on your part to inquire whether such amount is in fact due to them
while this indemnity covers payment by us to you in the event stated above, it
must be understood that our liability hereunder will not exceed the aggregate
amount of .................................... plus your commission and
charges. We finally agree that this indemnity as well as all matters connected
therewith shall be construed and decided in conformity with the Iranian law and
also the place of jurisdiction will be in Iran. This counter guarantee is valid
until .................................... (Plus 15 days for mailing time) and
will be extended for one period of three months if required by G.T.C.
.................. should the bank not be in a position or do not agree to
extend this guarantee and / or if .................................... fail to
provide the means for its extension and make the bank agree to such extension,
then the bank undertakes to pay the amount referred to above to or to the order
of Bank ..., without its being necessary for the latter to make a new
claim.
Unquote
Please note the text of counter guarantee must be exactly in conformity with
the above-mentioned draft. For your kind information , Bank ... will not
issue the counter guarantee even if a slight change is made to thenkubmitted
text or if there is a typographical error.