To Be Relieved of Obligations as Surety,a Compensated Surety Must

question 54

Multiple Choice

To be relieved of obligations as surety,a compensated surety must show that:

• A)he is secondarily liable for the payment of the debt.
• B)a change in the contract was material and prejudicial to him.
• C)he lacks the capacity to fulfill his promise.
• D)he has provided adequate collateral to the creditor.

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Definitions:

Conditional Gift

A stipulation in which the transfer of an asset, money, or property is subject to fulfilling a specific condition by the receiver.

Incomplete Gift

A gift for which the legal process of transfer has not been entirely finalized or where the donor has retained some control over the gift.

Revoked

The act of officially withdrawing, canceling, or reversing a decision, privilege, or status.

Donor

A person who makes a gift.