Which of the Following Is True If a Debtor Engaged

question 84

Multiple Choice

Which of the following is true if a debtor engaged in fraud in order to convince a surety or guarantor to enter into a contract with a third party?

• A) Because the third party is innocent, neither the surety nor the guarantor is released from liability.
• B) The surety is released from liability, but the guarantor is not.
• C) The guarantor is released from liability, but the surety is not.
• D) Both the guarantor and the surety will likely be released from liability.
• E) Both the guarantor and the surety will likely be released from liability on interest due on the contract, but not for the principle amount.

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Definitions:

Voluntarism

The principle or practice of relying on voluntary action or donations, often in the context of social services, community projects, or charitable organizations.

Work Deadlines

The final dates or times by which tasks, projects, or assignments must be completed and submitted.

Managers

Individuals responsible for controlling or administering an organization or group of staff, focusing on setting and achieving goals.

Volunteers

Individuals who offer their time and skills to a cause or organization without financial compensation.