THE EXTENT OF SURETY’S LIABILITY AND AMENDMENTS MADE BY THE TURKISH OBLIGATION CODE NUMBER 6098

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Suretyship Contract is an agreement by which surety undertakes to be liable for the results of the debtor’s default to the creditor. If the surety is required to pay or perform due to the debtor’s default, he/she will be entitled to be subrogated to the rights of creditor. A contract of suretyship is enforceable only if it is in writing and signed by the surety. Surety promises to assume responsibility for the principal debt and its legal and contractual interests if the borrower defaults. The surety’s liability arises from the contract or law and is limited to the maximum amount which the surety is undertaken to pay.

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Suretyship Contract , Agreement , Contract of Bailment , Surety’s liability , Maximum Liability , Liability coverage

Journal Of Financial Researches an‎d Studies

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Journal Of Financial Researches an‎d Studies