by VDT Attorneys | May 2, 2024 | Debt, Guarantee, Security, Suretyship
A suretyship and guarantee are concepts that are often used interchangeably given the perception that they are essentially the same. But that is not the case. Typically, these forms of security find applications where money is borrowed and the resultant debt is to be...
by VDT Attorneys | Jan 6, 2021 | Dispute resolution, Prescription, Surety, Suretyship
To answer your question, we must explain some of the terminology. “Prescription” is a legal principle in terms of which a debtor’s liability to pay an outstanding debt is extinguished after the passing of a prescribed time period. The Prescription Act 68 of 1969...
by VDT Attorneys | Aug 25, 2020 | Credit agreements, Prescription, Suretyship
Suretyship is accessory in nature, which is what differentiates it from other contracts of indemnity such as insurance. This means that suretyship only comes into being if there is a valid principle debt, or primary obligation. The accessorial nature of suretyship,...
