Liability under guaranty commission.

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59-9-3. Liability under guaranty commission.

A factor who charges his principal with a guaranty commission upon a sale, thereby assumes absolutely to pay the price when it falls due, as if it were a debt of his own, and not as a mere guarantor for the purchaser; but he does not thereby assume any additional responsibility for the safety of his remittance of the proceeds.

Source: CivC 1877, §1171; CL 1887, §3794; RCivC 1903, §1490; RC 1919, §1291; SDC 1939, §3.0605.


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