Smartt Software Company Borrows $10,000 from Term 'N All Loans,Inc

question 21

Essay

Smartt Software Company borrows $10,000 from Term 'N All Loans,Inc.,but cannot repay the loan when it comes due.Term 'N All refuses to ex?tend the time for repayment unless Smartt can provide an acceptable surety.Uno Venture Corporation agrees to act as a surety for the loan af?ter Smartt offers the firm a discount on software and shows Uno financial statements,compiled with Term 'N All's assistance,that misrepresent Smartt's financial situation.Later,after Uno uses the discount to buy software,Smartt again defaults on repayment of the loan,and Term 'N All files a suit against Uno to collect the amount of the debt.Is Uno liable? Why or why not?

---

Definitions:

Control Group

In an experiment, the group not exposed to the treatment; contrasts with the experimental group and serves as a comparison for evaluating the effect of the treatment

Exposure Therapies

Psychological treatments involving repeated exposure to feared stimuli to reduce the fear response.

Client-centered Therapists

Therapists who practice a form of psychotherapy that emphasizes the importance of the therapeutic relationship and the client's potential for self-directed growth.

Nonverbal Behaviors

Forms of communication without the use of spoken language, including gestures, facial expressions, and body language.