A surety that has made payment of a claim for which it was liable as a surety is entitled to which of the following from the principal?

Question

Quizplus · Accepted Answer

A surety who has made payment of a claim for which it was liable is entitled to indemnity from the principal, which means the principal must compensate the surety for the amount paid on behalf of the principal. Exoneration means release from liability, which is not applicable in this situation. Assignment and subrogation are not applicable since they refer to transferring or replacing rights or assets, which is not relevant to this question.

A Surety That Has Made Payment of a Claim for Which