Information > General articles > Raiders Channel > Mortgage >  text

Cases where the guarantor exempts or mitigates the guarantee liability

Time: 2013-12-06         Source: Financial 360 finishing         Author: Yu Yu

Guarantee liability arises because of the guarantee contract. It is a kind of debt liability that the guarantor assumes for the creditor. This kind of liability has different characteristics from the general debt liability, and it varies with different guarantee methods. The content of the guarantee responsibility can be specifically divided into two types: Responsibility and damage liability. Responsibility for performance on behalf of the debtor means that when the principal debtor fails to perform the debt, the guarantor replaces the debtor and performs the debtor’s debt to the creditor. Damage liability refers to the form in which the guarantor assumes liability for compensation when the principal debtor has caused damage to the right holder and cannot be compensated. There are several ways to ensure the elimination of responsibilities:

(a) The elimination of the principal debt. Guaranteed bonds are subordinated to the main claims, and the principal claims are eliminated by liquidation, withdrawal, offset, exemption, and misalignment. The basis for the existence of the guaranteed debt disappears, and the guarantor's guarantee responsibility is naturally attributable to elimination.
(b) The transfer of the principal debt to a third party without the consent of the guarantor. Because the guarantee is very personal and creditworthy, the guarantor generally only provides guarantees for specific debtors. Once the main debt is transferred, the guarantor and the new debtor do not have a trust relationship and assume the commitment without the guarantor's consent. Guaranteed responsibility is not fair. Therefore, Article 23 of China's "Law on Security" stipulates: "If the creditor permits the debtor to transfer the debt during the guarantee period, it shall obtain the written agreement of the guarantor. The guarantor shall no longer bear the guarantee responsibility for the debt transferred without his consent."
(3) The creditor and debtor agree to change the main contract without the consent of the guarantor. Article 24 of the "Guarantee Law" of China stipulates: "If the creditor and the debtor agree to change the main contract, they shall obtain the written agreement of the guarantor. Without the guarantor's written consent, the guarantor will no longer bear the guarantee liability. If there is an agreement in the guarantee contract, it shall be in accordance with the agreement." .
(d) The warranty period expires and the creditor is not a request. The existence of any right has a certain period of time, and the creditor's right to the guarantor is a specific right to request, and exists within the guarantee validity period. If the creditor does not claim rights within the warranty period, the guarantee period expires, the guarantee debt is destroyed, and the guarantor no longer bears responsibility.
(e) Guarantee the cancellation or termination of the contract. The guarantee contract is an independent debtor-debtor relationship. It can also be based on the agreement between the creditor and the guarantor to eliminate the guarantee contract; or it is stipulated that when a certain condition is fulfilled, one party has the right to terminate or rescind the contract, so that the guarantee contract does not take effect from the beginning.
(6) The guarantor performs the guaranteed debt. The guarantor assumes the responsibility of guaranteeing according to the guarantee contract, so that the creditor’s claim can be realized and the debt can be eliminated.

【Exclusive Manuscripts and Disclaimer】 All works marked as “Future 360 ​​Original” must be reproduced, excerpted or otherwise used by any entity, organization or individual without authorization in writing. Has been authorized in writing, indicating the source melts 360. Violations of the above statement inflicted violations of the legal rights and interests of 360 will be legally pursued. The materials and conclusions in the work are for reference only and do not constitute operational recommendations. For written authorization, please email:

Comment list (User comments are only for users to express personal views, does not mean that this site agrees with their views or confirms their description)
you may also like
  • Guarantee the meaning of the loan and the guarantor's responsibility  Guarantee loan refers to the loan issued by the third party when the borrower fails to repay the principal and interest of the loan in accordance with the guarantee method prescribed in the "Law of the Guarantee". The loan guarantee provided by the guarantor for the loan is an irrevocable total joint and several liability guarantee, also...
  • Under what circumstances the guarantor can be exempted from liability  The debtor owes money on the run, and the guarantor uses all his assets and mental power to repay the loan. Such embarrassing events are too numerous to mention. The key words that people assign to this role are the big ones. It is true that the debtor has disappeared or is unable to repay the debt. The guarantor desperation must always be forced to...
  • Guarantee responsibility  Guarantees need to assume the following responsibilities: 1. In any of the following circumstances, the guarantee center may fulfill the guarantee responsibilities at the request of the creditors: (1) The debtor accumulates (including the continuation) for six months during the period of performance of the debt. It does not comply with the stipulations of the loan contract. Repayment of loan principal and interest; (b) Debt...
  • Deliberately handling misplaced warranties cannot be exempted  When a person or company borrows money from a bank, the bank does not directly lend money to individuals in order to reduce the risk. Instead, it requires the borrower to find a third party (guarantee company or qualified person) to provide credit guarantees for it. Liu was harassed by others, but signed someone else...
  • Several situations of personal credit report objections  At present, there are several types of objections that are commonly encountered in the handling of personal credit report objections: The first category is objections to guarantee information. There are generally the following situations: Individuals' relatives or friends handle the guarantee procedures in the name of the individual. The individual...
You may also be interested in:
Related topics: