Moderate

A in consideration that B will employ C in collecting the rent of B's zamindari, promises B to be responsible, to the amount of 5000 rupees for the due collection and payment by C of those rents. This is a________________?

Correct answer: B. Continuing guarantee

  • A. Restricted guarantee
  • B. Continuing guarantee
  • C. Limited guarantee
  • D. None of above

Explanation

This is a continuing guarantee because it covers the repeated collection and payment of rents by C, rather than one isolated transaction. The liability is capped at 5,000 rupees, but that limit does not change its continuing character.

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Civil law governs disputes involving private rights, including contracts, property, family relations, torts and compensation. The subject explains breach of duty, civil liability, damages, specific relief, injunctions and other remedies, while distinguishing private claims between individuals from criminal proceedings brought to punish offences against the state.

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