‘Where a creditor has taken two guarantees for a debt, it is well established that his release of one surety may operate to discharge the other, either wholly or in part. In a similar way, a creditor’s release or surrender of a security that he holds is capable of discharging a surety. It is clear law, too, that a creditor has an equitable obligation to perfect any security and that, if he fails to do so, a surety can be discharged, at least to some degree.
The present appeal raises issues as to the extent of a creditor’s obligations in relation to security. ‘
Citations:
[2018] EWCA Civ 2416
Links:
Jurisdiction:
England and Wales
Contract
Updated: 29 June 2022; Ref: scu.628682