Lesson 1, Topic 1 of0

11.6 Discharge of surety

The situation under which a surety is discharged from his liability is listed as follows:

Discharge by revocation

  1. Revocation of guarantee by giving notice
  2. Revocation by death

Discharge by the conduct of the parties

  1. Variance in terms of the contract
  2. Release or discharge of the principal debtor
  3. Compounding by Creditor with the principal debtor
  4. Creditors act/omission impairing surety’s eventual remedy
  5. Loss of security.

Discharge by the invalidation of the contract

  1. Guarantee obtained by misrepresentation;
  2. Guarantee obtained by concealment
  3. Failure of a co-surety to join a surety