SHAW WALLACE & CO. LTD. vs NEPAL FOOD CORPN. .

The Supreme Court upheld the decision of the Calcutta High Court regarding the contractual obligations of Shaw Wallace & Co. Ltd. under the charterparty agreement and the implications of the letter of credit issued for the sale of rice. The Court emphasized that the obligations of the parties under the contract must be strictly adhered to, particularly in relation to the timing of shipment and payment as stipulated in the contract. The appeal was dismissed, affirming the lower court's decree in favor of the Nepal Food Corporation for recovery of the amount due under the contract.