Guarantors Are Released From Their Obligation And From Unnecessary Legal Proceedings If The Creditor Prevents, Obstructs Or Damages The Debtor’s Ability To Repay. Guarantors Must Ensure That The Loan Agreement Allows This
This article provides drafting solutions to ensure that a guarantor is not liable when the creditor does any act that prevents the debtor from performing its obligations under a contract. The article focuses on solutions to ensure that a guarantor does not have to endure a long and expensive trial to prove that the creditor’s…