GUARANTY
As a verb, to agree to be responsible for the pay-
ment of another’s debt or the performance of
another’s duty, liability, or obligation if that per-
son does not perform as he or she is legally obli-
gated to do; to assume the responsibility of a
guarantor; to warrant.
As a noun, an undertaking or promise that is
collateral to the primary or principal obligation
and that binds the guarantor to performance in
the event of nonperformance by the principal
obligor.
A guaranty is a contract that some particular
thing shall be done exactly as it is agreed to be
done, whether it is to be done by one person or
another, and whether there be a prior or princi-
