Page:United States Statutes at Large Volume 47 Part 1.djvu/1315

 72d C ONGRESS. SESS. II. CH. 128. FEBRUARY 27, 1933 . SEC. 1258. REIMBURSEME NT OF PERSON INDEMNIFYING OTHER .- Reimbursement of person indemnifying Where one, at the request of anot her, eng age s to ans wer in d amag es, other. w het her liquidated or unliquidated, for any violation of duty on the part of the latter, he is entitled to be reimbursed in the same manner as a surety for whatever he may pay. Ball, defined. SEC. 1259. BAIL, WHAT. - U po n those contracts o f ind emni ty whic h are tak en in le gal proc eed ings as secu rity for the pe rfor man ce of an obligation imposed or declared by the tribunals, and known as undertakings or recognizances, the sureties are called bail. Ho w regulated. SEC. 1260. How REGULATED .-The obligations of bail are governed by the law spec iall y ap plic able thereto. CHAPTER 60 .--GUARANTY IN GENERAL DEFINITION OF GUARANTY SEC. 1261. GUARANTY, WHAT .-A guaranty is a promise to answer for the debt, default, or miscarriage of an oth er person. CROSS R EwmENoEs GUARANTY IN GENERAL. Def init ion, 1291 Indemnit y, see sections 125 1-a et seq. Ante, p. MO. Suretyship, see sections 1285 et seq. Pa st, p.12 CREATION OF GU ARA NTY Creation of. Knowledgeofprlnci- S EC. 1262 . KNOWLEDGE OF PRINCIPAL NOT NECESSARY .-A person ~ not necessary . may become guarantor even without the knowledge or consent of the principal. S EC. 1263 . NECESSITY OF A CONSIDERATION .-Where a gua rant y is era Ion s .1 ' of oonsld- entered into at the same time with the original obligation, or with the acceptance o f t he latter by the guarantee, and forms with that obli gati on a pa rt of the consideration to him, no other consideration . need exist. In all ot her case s t here mus t be a c onsi der atio n di stin ct from that of the original obligation. SEC. 1264. GUARANTY TO BE IN WRITING, Em .-Except as prescri, ied wntia art e tobein by section 1265, a guaranty must be in writi ng, and signed by the guarantor ; but the writing ne ed not express a consideration. CROSS REFERENCE Guaranty, to be written, see section 541' (2). Ante, p.1107. SEC. 1265. ENGA GEMENT TO ANSWER FOR OBLIG ATION OF ANOTHER Engagement to an- ewer for obligation of WHEN DEEMED ORIGINAL .-A promise to answer for the obligation anot her, when deemed of another, in any of the following cases, is deemed. an original original . obligation of the promisor, and need not be in writing : 1. Where the pro mise is made by one who has received property of another upon an undertaking to apply it pursuant to such promise, or by one who has received a discharge fro m an obligation in whole or in part in consideration of such promise. 2. Where the creditor parts with value, or enters into an obliga- tion, iii consideration of the obligation in respect to which the prom- ise is made, in terms or under circumstances such as to render -the party making the promise the principal debtor, and the person in whose behalf it is made, his surety. 3. Where the promise, being for an antecedent obligation of another, is made upon the consideration that the party receiving it cancels the antecedent obligation, accepting the new promise as a substitute therefor ; or up on the c ons ider atio n th at the party re ceiv - ing it r eleases the prop erty of another from a levy, or his person from imprisonment under an execution on a judgment obtained upon , I.