himself. A is discharged by the change from future liability under his guarantee, though the misconduct of B is in respect of a duty ... subsequent misconduct of B. (d) A gives to C a continuing guarantee to the extent of 3,0(X) rupees for any oil supplied
suit was really one to enforce the guarantee
bond, that the guarantee was a continuing
guarantee and, therefore, the suit could not be
said ... enforce the guarantee bond executed by the defendant. The
guarantee bond itself provides that the guarantee shall be a
continuing guarantee
917
and the defendant
Contract Act, 1872
129. 'Continuing guarantee'.—
A guarantee which extends to a series of transactions, is called a 'continuing guarantee'. Illustrations (a) A, in consideration ... collection and payment by C of those rents. This is a continuing guarantee. (b) A guarantees payment to B, a tea-dealer, to the amount
Section 130 in The Indian Contract Act, 1872
130. Revocation of continuing guarantee.—
A continuing guarantee may at any time be revoked by the surety
Section 129 . 'Continuing guarantee' A guarantee
which extends to a series of transactions is called a
'continuing guarantee."
" Section ... terms of the guarantee bond, this Court held :
"The guarantee is seen to be a continuing guarantee and
the undertaking by the defendant
Section 38 in The Indian Partnership Act, 1932
38. Revocation of continuing guarantee by change in firm.—
A continuing guarantee given to a firm
Section 131 in The Indian Contract Act, 1872
131. Revocation of continuing guarantee by surety's death.—
The death of the surety operates ... contract to the contrary, as a revocation of a continuing guarantee, so far as regards future transactions
principal debtor. Defendants 2 and 3 guarantors. They have executed a continuing guarantee taking up the responsibility that they will also be liable ... Continuing guarantee and the main clause of the guarantee stipulates that this guarantee shall be a continuing security binding on defendants 2 and 3. When
contract. A continuing
guarantee is different from an ordinary guarantee. There is also a difference
between a guarantee which stipulates that the guarantor is liable ... principal debtor.
6. A continuing guarantee is different from ordinary guarantee. There is
difference between a guarantee which stipulates that the guarantor is liable
single transaction and the Guarantee Agreement executed in that behalf is a guarantee for the single transaction and not a continuing guarantee relied upon ... intrinsic material found in the Guarantee Agreement Ex.P.4 it is held that the guarantee is a continuing guarantee and not restricted
