Question 1 (30 Marks)

A suretyship is an accessory contract by which one person undertakes liability for anothers debt or financial obligations. You may have been approached by a friend to act as their surety/guarantor for a loan that they wish to take out.

1.1. In consideration of this decision you would need to understand the duties and rights that a surety would have. Explain the rights and duties of a surety. (10 Marks)

1.2. Discuss the following rights of surety and provide support for your answer with examples: (20 Marks)

1.2.1. Benefit of excussion.

1.2.2. Benefit of division amongst co-sureties.

1.2.3 Right of recourse against co-sureties.