Indian Contract Act

Surety not discharged when agreement made with third person to give time to principal debtor.— Where a contract to give time to the principal debtor is made by the creditor with a third person, and… 

Creditor’s forbearance to sue does not discharge surety.— Mere forbearance on the part of the creditor to sue the principal debtor or to enforce any other remedy against him does not, in the absence of… 

Release of one co-surety does not discharge others.— Where there are co-sureties, a release by the creditor of one of them does not discharge the others; neither does it free the surety so released from… 

Discharge of surety by creditor’s act or omission impairing surety’s eventual remedy.— If the creditor does any act which is inconsistent with the rights of the surety, or omits to do any act which his… 

Rights of surety on payment or performance.— Where a guaranteed debt has become due, or default of the principal debtor to perform a guaranteed duty has taken place, the surety upon payment or performance of… 

Surety’s right to benefit of creditor’s securities.— A surety is entitled to the benefit of every security which the creditor has against the principal debtor at the time when the contract of suretyship is entered… 

Guarantee obtained by misrepresentation invalid.— Any guarantee which has been obtained by means of misrepresentation made by the creditor, or with his knowledge and assent, concerning a material part of the transaction, is invalid. Guarantee… 

Guarantee obtained by concealment invalid.— Any guarantee which the creditor has obtained by means of keeping silence as to material circumstances, is invalid. Illustrations (a) A engages B as clerk to collect money for him.… 

Guarantee on contract that creditor shall not act on it until co-surety joins.— Where a person gives a guarantee upon a contract that the creditor shall not act upon it until another person has joined…