A guaranty is an undertaking on the part of one person (the guarantor) which binds the guarantor to performing the obligation of the debtor or obligor in the event of default by the debtor or obligor. The contract of guaranty may be absolute or it may be conditional. An absolute or unconditional guaranty is a contract by which the guarantor has promised that if the debtor does not perform the obligation or obligations, the guarantor will perform some act (such as the payment of money) to or for the benefit of the creditor.
A guaranty may be either continuing or restricted. The contract is restricted if it is limited to the guaranty of a single transaction or to a limited number of specific transactions and is not effective as to transactions other than those guaranteed. The contract is continuing if it contemplates a future course of dealing during an indefinite period, or if it is intended to cover a series of transactions or a succession of credits, or if its purpose is to give to the principal debtor a standing credit to be used by him or her from time to time.
Puerto Rico Guaranty of Payment for Goods Sold to Another Party Including Future Goods is a legally binding document that ensures the payment for goods sold by one party to another, even if those goods are to be delivered in the future. This guaranty acts as a protective measure for the seller, providing assurance that they will receive their payment in full and on time. In Puerto Rico, there are two main types of Guaranty of Payment for Goods Sold to Another Party Including Future Goods: 1. Absolute Guaranty: This type of guaranty provides an unconditional promise from the guarantor to the seller, guaranteeing the complete payment of the goods sold, regardless of any circumstances that may arise in the future. The absolute guaranty holds the guarantor fully responsible for the payment, even if the buyer defaults or becomes insolvent. 2. Limited Guaranty: Unlike the absolute guaranty, the limited guaranty imposes certain restrictions and limitations on the guarantor's liability. These limitations could include a maximum amount of liability, a specific period of coverage, or other conditions agreed upon by the seller and the guarantor. The limited guaranty allows for more flexibility in determining the extent of the guarantor's responsibility. Keywords: Puerto Rico Guaranty of Payment, Goods Sold, Another Party, Future Goods, Legal Document, Seller, Payment Assurance, Protective Measure, Unconditional Promise, Seller's Payment, Absolute Guaranty, Guarantor, Buyer Default, Insolvency, Limited Guaranty, Restrictions, Liability, Maximum Amount, Period of Coverage, Flexibility.Puerto Rico Guaranty of Payment for Goods Sold to Another Party Including Future Goods is a legally binding document that ensures the payment for goods sold by one party to another, even if those goods are to be delivered in the future. This guaranty acts as a protective measure for the seller, providing assurance that they will receive their payment in full and on time. In Puerto Rico, there are two main types of Guaranty of Payment for Goods Sold to Another Party Including Future Goods: 1. Absolute Guaranty: This type of guaranty provides an unconditional promise from the guarantor to the seller, guaranteeing the complete payment of the goods sold, regardless of any circumstances that may arise in the future. The absolute guaranty holds the guarantor fully responsible for the payment, even if the buyer defaults or becomes insolvent. 2. Limited Guaranty: Unlike the absolute guaranty, the limited guaranty imposes certain restrictions and limitations on the guarantor's liability. These limitations could include a maximum amount of liability, a specific period of coverage, or other conditions agreed upon by the seller and the guarantor. The limited guaranty allows for more flexibility in determining the extent of the guarantor's responsibility. Keywords: Puerto Rico Guaranty of Payment, Goods Sold, Another Party, Future Goods, Legal Document, Seller, Payment Assurance, Protective Measure, Unconditional Promise, Seller's Payment, Absolute Guaranty, Guarantor, Buyer Default, Insolvency, Limited Guaranty, Restrictions, Liability, Maximum Amount, Period of Coverage, Flexibility.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
