what is a commercial guaranty
A continuing guaranty is an agreement by the guarantor to be liable for the obligations of someone else to the lender, even if there are several different obligations that are made, renewed or repaid over time. In contrast, a specific guaranty is limited only to one individual transaction.ll the guarantor must do is to revoke the guaranty in writing. For example, the Bank extends a $1,000,000 line of credit to ABC Corp. Mr. C is an owner and guaranties payment of the debt. Mr. C has a falling out with Ms. A and Mr. B, the other owners.