Guarantee and Counter Guarantee

Bank gaurantee is a gaurantee which we make in favour of party who hs given us work,and we make this gaurantee to ensure that we will complete the work with in limited period ..Bank gaurantee are also of different type like perfomance bank gaurantee ,,earnest money deposit...In case of our default the party can enforce this bank gaurantee and can get claim...

Where as Counter bank is made in favour of bank against the above bank gaurantee to indemnify the bank against the losses and claim which bank give to the party...

rgds

Kundan Singh