Section 127 in The Indian Contract Act, 1872
127. Consideration for guarantee.—
Anything done, or any promise made, for the benefit of the principal debtor ... provided C will guarantee the payment of the price of the goods. C promises to guarantee the payment in consideration of A's promise
Continuing guarantee'.—
A guarantee which extends to a series of transactions, is called a 'continuing guarantee'. Illustrations (a) A, in consideration that B will employ ... 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
letter of guarantee, until the deposit has been renewed, or the debt paid and, if it has been paid by the guarantee bank under ... guarantee a fresh letter of guarantee has been furnished. Form Of Letter Of Guarantee From Banks To, The President of India In consideration of your
entering into contracts of indemnity, suretyship or guarantee with specific security or otherwise; (g) receiving in consideration of the services mentioned in clauses
Indian Contract Act, 1872
130. Revocation of continuing guarantee.—
A continuing guarantee may at any time be revoked by the surety, as to future transactions ... notice to the creditor. Illustrations (a) A, in consideration of B's discounting, at, A's request, bills of exchange for C, guarantees
discharge of the principal debtor. Illustrations (a) A gives a guarantee to C for goods to be supplied by C to B. C supplies goods ... 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
thinks fit, postpone such enforcement or grant it subject to such guarantee as the Court may decide. (3) If the party against whom the award ... thinks fit, either refuse enforcement of the award or adjourn the consideration thereof, giving such party a reasonable time within which to have the award
outside India by industrial concerns in foreign currency: Provided that no such guarantee shall be given without the prior approval of the Central Government ... Section 14 (w.e.f. 2.2.1987).] ; (da) [ transferring for consideration any instrument relating to loans and advances granted by it to industrial concerns; ] [ Inserted
charges, consultancy charges, service charges, royalties, premia, license fees and any other consideration of whatever description; (f) receive gifts, grants, donations or benefactions from Government ... request being made to it by the National Housing Bank, guarantee the bonds and debentures issued by the National Housing Bank as to the repayment
means a corporate person who is the surety in a contract of guarantee to a corporate debtor;] [Inserted by Act No. 26 of 2018, dated ... means a debt alongwith interest, if any, which is disbursed against the consideration for the time value of money and includes- (a) money borrowed against
