When a guarantee is not guaranteed

indexIt seems to be a common perception that a guarantee is a document cast in stone.

This is, however, not the case.  As a rule of interpretation, the intention of the parties involved as well as all relevant facts of the matter, are key in determining the true nature and effect of an agreement or document.

Construction guarantees typically take one of two forms, namely: an on-demand or call guarantee, which is unconditional, and a suretyship guarantee, which is conditional.

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