Skip to content
Contract – II · Unit 4

Contract II exam question: In what circumstances is a surety

The question (15 marks)

In what circumstances is a surety discharged from his liability? Explain, with illustrations, the distinction between giving time to the principal debtor and mere forbearance to sue him. (15 marks)

MU Module IV, guarantee - discharge and rights of the surety; chapter on indemnity and guarantee, and case brief 19.

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

  • State of Madhya Pradesh v. Kaluram
  • Sections 142, 143 and 144 of the Indian Contract Act 1872, on guarantees that are invalid from the outset
  • Sections 140 and 145 of the Indian Contract Act 1872, for the recourse that the discharge provisions protect

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.