That is to say the document is drawn by the lending institution on a standard form. The borrower and the guarantor have little or no part in the negotiation of the agreement. They have no choice but to comply with its terms if the loan is to be granted. Often the guarantors are family members with limited commercial experience. As a matter of accommodation for a family member or friend they sign the guarantee.
Many guarantors are unsophisticated and vulnerable.
At page 521 of that case, it was said that 'accommodation sureties' are those who entered into the guarantee 'in the expectation of little or no remuneration and for the purpose of accommodating others or of assisting others in the accomplishment of their plans'. A husband and wife signed a variable rate personal loan payable on demand to the Royal Bank. The wife signed a collateral mortgage on her house as security. After default on the loan, the bank began foreclosure proceedings. The husband and wife claimed undue influence, misrepresentation and non est factum.