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Demand guarantee or suretyship : [case review]

Zoran Tasić ; CMS - Podružnica Zagreb, Zagreb, Hrvatska

Abstract

The claimant (Meritz) has issued three guarantees to the buyers of three new buildings at the Korean shipyard for refund of the advance payments of the contract price. The shipyard failed to deliver the vessels pursuant to terms of the shipbuilding contracts and the defendants demanded payments under the guarantees. The claimant
sought a declaratory judgement realizing him from the guarantees, arguing that the guarantees are classic contracts of suretyship and not performance bonds or demand guarantees. The judge concluded that they were performance bonds i.e. demand guarantees and decided in favour of the defendants in the amounts of the guarantees.

Keywords

case review; guarantee; suretyship; shipbuilding contract;

Hrčak ID:

77071

URI

https://hrcak.srce.hr/77071

Publication date:

28.12.2011.

Article data in other languages: croatian

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