Law Maker

TITLE. Repealed · CHAPTERVIII OF INDEMNITY AND GUARANTEE

Section 128: Surety’s liability

The Indian Contract Act, 1872

The liability of the surety is co- extensive with that of the principal debtor, unless it is otherwise provided by the contract.

Illustration

A guarantees to B the payment of a bill of exchange by C, the acceptor. The bill is dishonoured by C. A is liable, not only for the amount of the bill, but also for any interest and charges which may have become due on it.

Questions on this section

1 question in 5 of our papers cite Section 128.

Practise questions on Contract Law

Section 128 Contract Act: Surety’s liability | Law Maker