Encyclopaedia Britannica, 11th Edition, "Groups, Theory of" to "Gwyniad": Volume 12, Slice 6Various
Science
Encyclopaedia Britannica, 11th Edition, "Groups, Theory of" to "Gwyniad": Volume 12, Slice 6
Various
Encyclopedias and dictionaries
In this connexion It may be stated in general terms that whatever
extinguishes the principal obligation necessarily determines that of the
surety (which is accessory thereto), not only in England but elsewhere
also (Codes Civil, Fr. and Bel. 2034, 2038; Spain, 1847; Port. 848;
Lower Canada, 1956; 1960; Egypt [mixed suits], 622, _ibid._ [native
tribunals], 509; Indian Contract Act 1872, sec. 134), and that, by most
of the codes civil now in force, the surety is discharged by _laches_ or
conduct of the creditor inconsistent with the surety's rights (see Fr.
and Bel. 2037; Spain, 1852; Port. 853; Germany, 776; Italy, 1928; Egypt
[mixed suits], 623), though it may be mentioned that the rule prevailing
in England, Scotland, America and India which releases the surety from
liability where the creditor, by binding contract with the principal,
extends without the surety's consent the time for fulfilling the
principal obligation, while recognized by two existing codes civil
(Spain, 1851; Port. 852), is rejected by the majority of them (Fr. and
Bel. 2039; Holland, 1887; Italy, 1930; Lower Canada, 1961; Egypt [mixed
suits], 613; _ib._ [native tribunals], 503); (and see Morice, _English
and Dutch Law_, p. 96; van der Linden, _Institutes of Holland_, pp.
120-121). A revocation of the contract of suretyship by act of the
parties, or in certain cases by the death of the surety, may also
operate to discharge the surety. The death of a surety does not _per se_
determine the guarantee, but, save where from its nature the guarantee
is irrevocable by the surety himself, it can be revoked by express
notice after his death, or, it would appear, by the creditor becoming
affected with constructive notice thereof; except where, under the
testator's will, the executor has the option of continuing the
guarantee, in which case the executor should, it seems, specifically
withdraw the guarantee in order to determine it. Where one of a number
of joint and several sureties dies, the future liability of the
survivors under the guarantee continues, at all events until it has been
determined by express notice. Moreover, when three persons joined in a
guarantee to a bank, and their liability thereunder was not expressed to
be several, it was held that the death of one surety did not determine
the liability of the survivors. In such a case, however, the estate of
the deceased surety would be relieved from liability.
The Statutes of Limitation bar the right of action on guarantees under
seal after twenty years, and on other guarantees after six years, from
the date when the creditor might have sued the surety.
Public-domain text, read in full here on John Shaqi.
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