CaseLaw
There was a claim by the Plaintiff's Bank against defendant under a written agreement whereby the defendant agreed, in consideration of the Bank granting overdraft facilities to a third party, to guarantee the payment to the Bank of all moneys due from the said third party to the Bank. The third party (a company) went into voluntary liquidation while still owing the Bank a lot of money. The con-tract of guarantee showed four named guarantors (including the defendant) but it was signed by only three of the four guarantors. The defendant did not know nor was he told that the fourth guarantor did not sign the agreement and the reason for his failure to sign. The trial Judge dismissed the claim on the ground that since all the guarantors did not sign, that the defendant was not bound by the agreement on which the claim was predicated.
Whether it is possible for a joint guarantor to rely on the fact that one of the...