Analysis of the rights of the Guarantor  Vis-À-Vis the Insolvency & Bankruptcy Code

The existence of a guarantor or a contract of guarantee is a common phenomenon in the commercial world. A guarantor was first defined under the Indian Contract Act, 1872 and the proceedings under the Insolvency and Bankruptcy Code, 2016 (IBC) were later extended to them. The Contract Act does not use the term guarantor but rather prefers the term “surety”.