Characteristics of guarantees

A guarantee is a secondary obligation in a tripartite structure. This guidance note explains the meaning of secondary obligation and tripartite structure, with examples to aid legal practitioners’ understanding of these characteristics of guarantees.

A guarantee is a quasi-security. This guidance note also explains:

• • the meaning of quasi-security;
• • the difference between security and quasi-security; and
• • what do quasi-securities do.

See Characteristics of guarantees.