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Which of the following, is not an essential of a Contract of Guarantee

A contract of guarantee under section 126 of the Indian Contract Act, 1872 involves the "Concurrence of three parties" (principal debtor, creditor and surety), the "Surety's…

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Which of the following, is not an essential of a Contract of Guarantee

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Correct answer D

A contract of guarantee under section 126 of the Indian Contract Act, 1872 involves the "Concurrence of three parties" (principal debtor, creditor and surety), the "Surety's distinct promise to be answerable", and "Liabilities to be legally enforceable". It involves a principal contract between debtor and creditor and a separate contract of guarantee, so "Existence of only one contract" is not an essential.

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