In forceUpdated to 1 Jan 2006Current version · Updated to 1 Jan 2006
Contracts Act 1950 · Updated to 1 Jan 2006 · Part VIII · Of Indemnity and Guarantee
81. Surety’s liability
Feedback & supportThe liability of the surety is co-extensive with that of the principal debtor, unless it is otherwise provided by the contract.
A guarantees to B the payment of a bill of exchange by C, the acceptor. The bill is dishonoured by C. A is liable, not only for the amount of the bill, but also for any interest and charges which may have become due on it.
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