Part E Guarantees and Security, 26 Guarantees
From: The Law and Practice of International Banking (2nd Edition)
Charles Proctor
- Subject(s):
- Regulation of banks
This chapter provides an overview of the law of guarantees as it applies in a banking context. It discusses the purpose, definition, and characteristics of a guarantee; the formal requirements applicable to the creation of a guarantee; the distinction between a guarantee and an indemnity; the interpretation of, and liability under, a guarantee; the application of legislation on unfair contract terms; the rules applicable to individual and corporate capacity; the duties of the bank to the guarantor; the discharge of the guarantor; certain vitiating factors; termination by the guarantor; and the rights of the guarantor following payment.
