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Which of the Following Is True of Surety Arrangement

Question 41

Multiple Choice

Which of the following is true of surety arrangement?


A) The surety is not liable for paying the principal debtor's debt when it is due.
B) The creditor should have exhausted all other remedies before seeking payment from the surety.
C) The creditor has the right to initiate legal actions only against the principal debtor and not against the surety.
D) The principal debtor does not have to be in default on the debt before seeking payment from the surety.

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