Section 136. Surety not discharged when agreement made with third person to give time to principal debtor

Category of Bare Act Name of the Act Year of Promulgation
Civil Laws Indian Contract Act, 1872 1872
Act Number Enactment Date Chapter Number
9 1872-04-25 8
Chapter Title Ministry Department
Of indemnity and guarantee Ministry of Law and Justice, Legislative Department Department of Law and Legislative Affairs

Where a contract to give time to the principal debtor is made by the creditor with a third person, and not with the principal debtor, the surety is not discharged.

Illustration

C, the holder of an overdue bill of exchange drawn by A as surety for B, and accepted by B, contracts with M to give to B. A is not discharged.