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A guarantee clause in a contract sets out the guarantor’s duty to cover the debt or obligations if the primary debtor fails. A solicitor drafts and reviews the clause to define who is guarantor, the scope of the guarantee, any limits or exclusions, and how and when enforcement can occur. They also check for conflicts with other security, ensure notices and triggers are clear, and consider issues like continuing guarantees, change of borrower, or access to remedies. Practice may involve negotiating terms with lenders or counterparties.

What a solicitor handles in these matters

A solicitor handles the provisions, structures and interactions around the guarantee: who the guarantor is, what is guaranteed, the duration, any cap or limit, whether it is a continuing or limited guarantee, any deemed or implied guarantees, how default is triggered, notice requirements, and any release or variation mechanisms. They also coordinate with other security interests and ensure enforceability under contract law and relevant insolvency rules.

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Claire LevyDonna Beaumont

Tagged solicitors Claire Levy and Donna Beaumont

Claire Levy and Donna Beaumont helped me get a complex transaction through at speed which was very much appreciated. My emails were responded to very promptly and additionally I appreciated that Claire rang personally to talk through some complexities. It really felt like Claire and Donna worked my behalf and appreciated the urgency of the situation. I would definitely recommend them again and will be coming back again.

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