Question 2
Which one of the following statements is incorrect?
1 In a contract of suretyship there is an agreement
by which the surety renders himself liable toward
a creditor for the proper compliance of the
obligations of a debtor.
2 A contract of suretyship is accessory to the
principal obligation between the debtor and the
creditor
3 The surety may not render himself liable for less
than the principal debt
4 In a contract of suretyship there are actually two
debtors, namely the debtor in the first agreement
and the debtor in the contract of surety
The statement that is incorrect is:
4. In a contract of suretyship there are actually two debtors, namely the debtor in the first agreement and the debtor in the contract of surety.
In a contract of suretyship, there are two parties involved - the principal debtor (the one who owes the debt) and the surety (the one who guarantees the debt). The surety is not considered a debtor, but rather someone who assumes liability for the debtor's obligations.
The incorrect statement is:
4 In a contract of suretyship there are actually two debtors, namely the debtor in the first agreement and the debtor in the contract of surety.
To determine which one of the statements is incorrect, let's evaluate each statement:
1) In a contract of suretyship, there is an agreement by which the surety renders himself liable toward a creditor for the proper compliance of the obligations of a debtor.
This statement is correct. In a contract of suretyship, the surety (also known as the guarantor) agrees to take responsibility for the debtor's obligations towards the creditor if the debtor fails to fulfill their obligations.
2) A contract of suretyship is accessory to the principal obligation between the debtor and the creditor.
This statement is correct. A contract of suretyship is indeed considered accessory to the principal obligation between the debtor and the creditor. This means that the surety's liability is contingent upon the debtor's failure to meet their obligations.
3) The surety may not render himself liable for less than the principal debt.
This statement is correct. In general, a surety cannot limit their liability to less than the principal debt. The surety becomes fully liable for the entire debt if the debtor defaults. This ensures that the creditor's rights are protected.
4) In a contract of suretyship, there are actually two debtors, namely the debtor in the first agreement and the debtor in the contract of surety.
This statement is incorrect. In a contract of suretyship, there are not two debtors. There is only one debtor, who has an obligation towards the creditor. The surety is not a debtor but rather a party who guarantees the fulfillment of the debtor's obligations.
Therefore, the incorrect statement is statement 4.