Please enable JavaScript.
Coggle requires JavaScript to display documents.
Of Indemnity and Guarantee, Discharge - Coggle Diagram
-
Discharge
Section - 133 Discharge of surety by variance in terms of contract.—Any variance, made without the surety’s consent, in the terms of the contract between the principal debtor and the creditor, discharges the surety as to transactions subsequent to the variance.
Section - 134 Discharge of surety by release or discharge of principal debtor. - When the liability of PD is discharged than right of Surety is also discharged
Co- Sureties
Rights of Surety
Section - 143 Guarantee obtained by concealment invalid.—Any guarantee which the creditor has obtained by means of keeping silence as to material circumstances, is invalid.
Section - 141 Surety’s right to benefit of creditor’s securities. / Right of Subrogation When at the time of contract, It has a security and someone becomes the surety to such contract and such security is given away by the creditor w/o consent of surety such surety is discharged to the extent of value of security.
Section - 140 Rights of surety on payment or performance - Surety has all rights against PD that a creditor has against PD
Section - 142 Guarantee obtained by misrepresentation invalid.—Any guarantee which has been obtained by means of misrepresentation made by the creditor, or with his knowledge and assent, concerning a material part of the transaction, is invalid.
-
Section - 144 Guarantee on contract that creditor shall not act on it until co-surety joins.—Where a person gives a guarantee upon a contract that the creditor shall not act upon it until another person has joined in it as co-surety, the guarantee is not valid if that other person does not join.
Section - 145 Implied promise to indemnify surety.—In every contract of guarantee there is an implied promise by the principal debtor to indemnify the surety, and the surety is entitled to recover from the principal debtor whatever sum he has rightfully paid under the guarantee, but, no sums which he has paid wrongfully.
Section - 146 Co-sureties liable to contribute equally. with or without knowledge of each others unless their is contract to contrary
-
-
Section - 135 Discharge of surety when creditor compounds with, gives time to, or agrees not to sue, principal debtor
Section - 136 Surety not discharged when agreement made with third person to give time to principal debtor.
-
-
-
-