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

After making payment of a claim, the surety is entitled to seek indemnity from the principal, which means the principal must reimburse the surety for the amount paid. Exoneration refers to the release of the surety from liability, and it generally occurs once the principal has fulfilled their obligations. Assignment refers to the transfer of rights or interests, which is not relevant in this context. Subrogation is also not relevant here, as it refers to the transfer of the surety's rights to the claim after payment has been made.

A Surety That Has Made Payment of a Claim for Which