Indian Contract Act Section 130 — Revocation of continuing guarantee

CHAPTER VIII OF INDEMNITY AND GUARANTEE

Commercial / Corporate

Summary

A continuing guarantee can be revoked by the surety at any time, but only for future transactions. This is done by giving notice to the creditor. The revocation does not affect transactions that have already taken place under the guarantee.

Official Text

A continuing guarantee may at any time be revoked by the surety, as to future transactions, by notice to the creditor. Illustrations