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This historic book may have numerous typos, missing text or index. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. 1904. Not illustrated. Excerpt: ... Chap. XXI. any part of them until the whole debt is satisfied in full. As before stated, this is the form of liability which should be exacted from the...
This historic book may have numerous typos, missing text or index. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. 1904. Not illustrated. Excerpt: ... Chap. XXI. any part of them until the whole debt is satisfied in full. As before stated, this is the form of liability which should be exacted from the guarantor wherever possible, as being the more advantageous for the bank. Clause as The addition of a special clause to the effect that all securities.0 securities held against the debtor's liability were to stand to secure full payment of the ultimate balance due to the bank would remove any doubt in either case. (Cf. Waugh v. Wren, 11 W. R. 244.) The clause might well be worked in with the proviso as to the bank being entitled to receive dividends in bankruptcy and other payments without prejudice to the liability of the surety for the ultimate balance of the debt, which, as before stated, ante, p. 297, was found efficacious in In re Sass  2 Q. B. 12. A proviso or clause to that effect should never be omitted. General words General words might no doubt be inserted in a guarantee suretyightS f wn^cn, ^ ^he guarantor signed it, would make him contract himself out of all the rights of a surety, so far as the creditor was concerned. But it would be doubtful policy to resort to this. A careful guarantor would decline so to bind himself; a careless one would afterwards contend he was not cognisant of what he was committing himself to. other acts or The acts or defaults which would release the surety, defaults. outside those generally provided for in a well - drawn guarantee, are such as a bank can readily avoid, if it bear in mind the salutary rule that there must be no variation of the contract, no dealing with the principal, or a co-surety, or with the securities for the debt, behind the back of the surety, or without his consent, either given by anticipation in the guarantee, or prior to such dealing; ...
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