Cases in which the Creditor does not have the Right of Terminate
Issue No. 1983- If a person was capable of paying the debt of the creditor at the time he stood as a surety, the creditor cannot cancel his guarantee and demand the payment from the first debtor, even if the guarantor may have become poor afterwards. And the same rule will apply if the surety at the time of guaranteeing was not capable of paying the debt, yet the creditor agreed to his becoming the guarantor despite knowing it. However, if the surety at the time of guaranteeing was not capable of paying the debt, and the creditor was not aware of it, and he comes to know about it afterwards, he can cancel his guarantee.
