Guarantee For Payment of Goods to be Supplied to Tradesman
THIS DEED OF GUARANTEE executed at _____________, this ______________ day of _____________ Two thousand and _____ BY ABC of __________, Indian Inhabitant, having address at _______________ ______________________, hereinafter called “THE GUARANTOR” (which expression shall unless it be repugnant to the context or meaning thereof, mean and include his heirs, executors and administrators) of the One Part; And X Y Z also of _____________, Indian Inhabitant, having address at ___________________________________, hereinafter called “THE PRINCIPAL” (which expression shall unless it be repugnant to the context or meaning thereof, mean and include his heirs, executors, administrators and Assigns) of the Other Part:
W H E R E A S:
(a) This Agreement is supplemental to a contract made between one M/s Vijay Constructions of the One Part and the Principal of the Other Part whereby the Principal has agreed to supply certain goods to the said M/s Vijay Constructions on credit.
(b) In consideration of the principal supplying goods to M/s Vijay Constructions on credit, the Guarantor has agreed to guarantee the said payment as appearing hereinafter.
NOW THE GUARANTOR HEREBY AGREES with the Principal as follows:—
(i) The Guarantor hereby guarantees to the Principal the payment of all moneys (now or) at any time or times (hereinafter) to the Principal in respect of the goods sold (to be sold) and supplied (to be supplied) by the Principal to the said M/s Vijay Constructions. However, the Guarantor’s liability in no case shall exceed the sum of Rs. _____________/- (Rupees ____________________________ only).
(ii) The Principal is at liberty to grant to the said Vijay Constructions such extension of credit or time for payment or other indulgence as he may think proper without discharging or impairing Guarantor’s liability hereunder.
(iii) This guarantee is to be a continuing guarantee.
(iv) The Guarantor reserves his right to revoke this guarantee by giving notice in writing as to all future dealings by the Principal with the said M/s Vijay Constructions.
IN WITNESS WHEREOF the GUARANTOR has put his hand on the day and year first hereinabove written.
SCHEDULE ABOVE REFERRED TO:
SIGNED AND DELIVERED by )
the within named ABC, )
the GUARANTOR above named, in )
the presence of ————————— )