Suppose that a clause in the contract between Air Ruidoso and Executive Aviation provides that “if the airline becomes insolvent, Braden Fasco, the chief executive officer of Air Ruidoso, agrees to cover its outstanding debts.” Is this a suretyship or a guaranty agreement?

Air Ruidoso, Ltd., operated a commuter airline and air charter service between Ruidoso, New Mexico, and airports in Albuquerque and El Paso. Executive Aviation Center, Inc., provided services for airlines at the Albuquerque International Airport. When Air Ruidoso failed to pay more than $10,000 that it owed on its account for fuel, oil, and oxygen, Executive Aviation took possession of Air Ruidoso’s plane, claiming that it had a lien on the plane.