PAKISTAN BEVERAGE LIMITED vs STATE BANK OF PAKISTAN Ss — 2023 CLD 125 KARACHI-HIGH-COURT-SINDH

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PAKISTAN BEVERAGE LIMITED VS STATE BANK OF PAKISTAN Ss. 42 & 54---Civil Procedure Code (V of 1908), O. XXXIX, Rr. 1 & 2---Suit for declaration and permanent injunction---Interim injunction, refusal of---Banking Policy and Regulation Department (BPRD) Circular, assailing of---Government policy---Restriction on import of goods---Plaintiff company assailed BPRD Circular imposing restriction on import of goods from abroad---Plea raised by plaintiff company was that due to restriction on import, defendant Bank refused to open letter of credit in favour of its foreign suppliers---Validity---Local Bank could provide services at the doorstep of its customers and could never say no to their elite customers based on their own understanding---International commitment of foreign exchange could not be read isolating trade policies---Nothing could turn on the draft LC, which was a Bank Form and could have been signed anytime, anywhere---Letter of credit was in itself an independent contract between issuing Bank and advising Bank for its onward payment to the supplier---On the strength of concluded contract between buyer and supplier commitment for repayment via LC could not be said to be a concluded contract---Plaintiff company failed to make out a prima facie case for injunction---Balance of inconvenience was also not in favor of plaintiff company and there was no irreparable loss to be caused to plaintiff company, as it was a matter of policy in terms of which certain restrictions were introduced on imports---No concluded terms of remittance via Letter of Credit were concluded prior to cutoff date, and there was no retrospective applicability of circular in question to the contract between supplier and plaintiff and any such restrictions as notified in the circulars in question---Application was dismissed, in circumstances.

PAKISTAN BEVERAGE LIMITED vs STATE BANK OF PAKISTAN Ss — 2023 CLD 125 KARACHI-HIGH-COURT-SINDH

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