Payment of the Principal Obligation Will Not Discharge the Guarantor

question 42

True/False

Payment of the principal obligation will not discharge the guarantor from the obligation.

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Definitions:

Corporate Assets

resources owned by a corporation that have economic value and can be used to meet its financial obligations.

Articles of Merger

Legal documents filed with a governmental entity to officially merge two or more corporations, detailing the terms and conditions of the merger.

Voluntarily Dissolved

Referring to the intentional decision by the owners or stakeholders of a company to legally dissolve the corporation or business.

Liquidated

The process of converting assets into cash or settling debts, often used in the context of closing a business or satisfying creditors.