Section 134(a) in Jammu and Kashmir Contract Act, Svt. 1977 (1920 A.D.)
(a)A gives a guarantee to C for goods to be supplied by C to B. C supplies goods to B , and afterwards B becomes embarrassed and contracts with his creditors (including C) to assign to them his property in consideration of their releasing him from their demands. Here B is released from his debt by the contract with C and A is discharged from his suretyship.
