Common Contracts
1 similar Contract of Guarantee contracts
Proffessor C.P.Singh Head & Dean Faculty of LawContract of Guarantee • May 20th, 2020
Definition [S.126]:- In a contract of guarantee one person promises to pay the amount due from another person incase the another person not pays within fix time. S. 126 provides that a "contract of guarantee" is a contract to perform the promise, or discharge the liability, of a third person in case of his default. The person who give the guarantee is called the "surety"; the person in respect of whose default the guarantee I given is called the "principal debtor", and the person to whom the guarantee is given is called the "creditor". A guarantee may be either oral or written.
