Suarez clearly clamped his jaw around the arm of Chelsea defender Branislav Ivanovic during the second half of an action-packed Premier League clash but escaped unpunished.
The controversial Uruguayan, who later issued an unreserved apology for his behaviour, earned his side a 2-2 draw with a powerful header six minutes into stoppage time.
It was a bitter blow for Chelsea, especially as Tottenham had earlier closed the gap in the chase for Champions League qualification with a stunning late comeback to beat City 3-1.
Leading 1-0 through Samir Nasri's early goal, City seemed set to prolong the title race for another week at least but three goals in seven minutes late on from Clint Dempsey, Jermain Defoe and Gareth Bale left them 13 points behind leaders Manchester United.
Tottenham's smash and grab raid meant United can seal a record 20th English title if they beat relegation-threatened Aston Villa at Old Trafford on Monday.
While the title race is virtually done and dusted, Tottenham's win and Chelsea's draw at Liverpool intensified an intriguing top-four battle that could go to the wire.
Arsenal remained in third spot with 63 points from 34 games, Chelsea have 62 from 33 and Tottenham 61 from 33.
But Suarez again made the headlines for all the wrong reasons.
Liverpool manager Brendan Rodgers condemned his behaviour as "unacceptable" and the club's managing director Ian Ayre said the bite was "not befitting of any player wearing a Liverpool shirt."
Suarez swiftly apologised for his actions, first on Twitter and then on the club website.
"I am deeply sorry for my inexcusable behaviour earlier today during our match against Chelsea," he said.
"I have issued an apology and have tried to contact Branislav Ivanovic to speak to him personally. I apologise also to my manager, playing colleagues and everyone at Liverpool Football Club for letting them down."
The Football Association confirmed it would begin an investigation into the biting incident on Monday and Graeme Souness, Liverpool's former hardman midfielder now working as a Sky TV pundit, described it as "embarrassing" and said the reputation of the club was being damaged.
"It could make it very difficult for him to stay at Liverpool," Souness said.
"They have to safeguard the good name of the club.
"Suarez's track record is not great, this puts him in the last-chance saloon because it's putting at risk everything that this clubs stands for."
Suarez is no stranger to controversy.
He was once banned for biting an opponent in the Netherlands and last season was banned for racially abusing Manchester United's Patrice Evra.
He was again in the thick of things on Sunday, creating Liverpool's equaliser for Daniel Sturridge with a superb cross and conceding a penalty with a needless handball to allow Eden Hazard to put Chelsea 2-1 ahead.
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