Because of the special nature of a guarantee, there is no requirement for consideration.

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In contract law, consideration is a fundamental element for the formation of a contract, including guarantees. Consideration refers to something of value that is exchanged between the parties. In the context of a guarantee, the lender's agreement to lend money to the borrower can serve as consideration for the guarantor's promise to ensure the loan is repaid.

Because of the Special Nature of a Guarantee, There Is