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A contracts with B to grow a crop of indigo on A's land and to deliver it to B at a fixed rate, and C…

Illustration (b) to section 134 holds that "C is no longer liable on his guarantee". Section 134 discharges the surety by "any act or omission of the creditor, the legal…

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A contracts with B to grow a crop of indigo on A's land and to deliver it to B at a fixed rate, and C guarantees A's performance. B diverts a stream of water which is necessary for the irrigation of A's land, and so prevents A from raising the indigo. B sues C on the guarantee. What is C's position?

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Correct answer A

Illustration (b) to section 134 holds that "C is no longer liable on his guarantee". Section 134 discharges the surety by "any act or omission of the creditor, the legal consequence of which is the discharge of the principal debtor". B's own act prevented A's performance, so A is excused, and C goes free with him.

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