"In finance, a surety, surety bond or guaranty involves a promise by one party to assume responsibility for the debt obligation of a borrower if that borrower defaults. The person or company providing the promise is also known as a "surety" or as a "guarantor".
A surety most typically requires a guarantor when the ability of the primary obligor, or principal, to perform its obligations to the obligee (counterparty) under a contract is in question or when there is some public or private interest that requires protection from the consequences of the principal´s default or delinquency. In most common law jurisdictions, a contract of suretyship is subject to the Statute of Frauds (or its equivalent local laws) and is unenforceable unless it is recorded in writing and signed by the surety and by the principal." - (en.wikipedia.org 27.11.2019)
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