The question (15 marks)
Distinguish a contract of indemnity from a contract of guarantee. When may an indemnity holder enforce the indemnity - must he first suffer the loss? (15 marks)
MU Module IV, indemnity and guarantee; chapter on indemnity and guarantee, and case brief 18.
Plan your answer on paper before you look at the authorities — issue first, then the rule, then apply it to these facts.
It tests Unit 4 · Indemnity, Guarantee, Bailment and Agency of Contract – II.
Authorities you will need
- Gajanan Moreshwar Parelkar v. Moreshwar Madan Mantri
- Osman Jamal & Sons v. Gopal
- Sections 140 and 145 of the Indian Contract Act 1872, on the surety's recourse
How an answer is marked
A full-marks answer names the issue in one line, states the rule with its section, cites the authority, applies it to these facts and concludes — in that order. The app's model answer for this question is written in exactly that shape, with a checklist to mark your own attempt against.