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Rights of Surety or Guar Antor Against Third Persons


RIGHTS OF SURETY OR GUAR ANTOR AGAINST THIRD PERSONS. As against third persons the surety has a right to hold property of the principal mortgaged to him for his indemnity before the debt is due or paid, or take a conveyance of property from the principal on agree ing to pay the debt. (McWhorter v. Wright, 5 Ga., 555; Bellume v. Wallace, 2 Rich. Law [S. C.], 80.) A judgment lien of the surety against the principal obtained before paying the debt is valid against the claims of creditors of the principal. (Miller v. Howry, 3 Pen. & Watts, 327.) Sec. 910. OF THE RIGHT TO CONTRIBU TION. Where there are two or more sureties equally liable for the debt of the principal, and one of them pays the debt, he may compel "contribu tion," or a payment of their just share from each of the other sureties who are equally liable, called co-sureties. The creditor is not bound to look to all the sureties jointly, but may compel payment from any one, and his election to do so gives rise to the principle of contribution.

The surety to enforce contribution from the co-sureties, must have paid the debt, but he need not wait until judgment has been taken against him before paying. (Backus v. Coyne, 45 Mich., 584; Bright v. Lennon, 83 N. C., 183.)

debt and principal