Under the Indian Contract Act, 1872, in a contract of guarantee, the principal debtor:
Section 145 implies "a promise by the principal debtor to indemnify the surety" in every guarantee. No express or written promise is needed, and the surety's payment does…
Choose your answer
Under the Indian Contract Act, 1872, in a contract of guarantee, the principal debtor:
Answer and explanation
Correct answer B
Section 145 implies "a promise by the principal debtor to indemnify the surety" in every guarantee. No express or written promise is needed, and the surety's payment does not free the debtor; his liability then runs to the surety.
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