John Quicler, Senior Associate at Hill Dickinson, explains the differences between guarantee and indemnity in the UK.
In the recent Court of Appeal decision in Deepak Abbhi v Richard John Slade (trading as Richard Slade and Company [2019] EWCA Civ 2175, the Court considered the important distinction between a guarantee and an indemnity and held that a promise to pay another person’s bill in this instance was not a guarantee but a primary obligation and was valid and binding .
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