Which of the Following Is True of a Guarantor in a Guaranty

question 73

Multiple Choice

Which of the following is true of a guarantor in a guaranty arrangement?

• A)The guarantor is secondarily liable on the debt.
• B)The guarantor must pay the debt even if the principal debtor is not in default.
• C)The creditor can first seek legal remedy from the guarantor.
• D)The guarantor has full legal rights to possession of the real property in this type of arrangement.

---

Definitions:

Adjoining Lake

A body of water that is directly connected or next to a particular piece of land or property.

Tenancy in Common

A form of joint ownership of property where each owner holds an undivided interest in the property, and there is no right of survivorship.

Joint Tenancy

A form of property co-ownership that provides equal shares and rights to the property, with the right of survivorship upon a tenant's death.

Ownership

The legal right to possess, use, control, and dispose of an asset or property.