Can a guarantor become a principal debtor?
British Columbia, Canada
The following excerpt is from Wang v. Chen, 2013 BCSC 1138 (CanLII):
In Gabbs v. Bouwhuis, 2005 BCSC 1782, this court said at para. 28: The definition of “guarantee” is a legal definition. Many principle debtors “guarantee” repayment. This does not then legally define the debtor as a “guarantor”. Indeed, a guarantor can, in some circumstances, become a principal debtor…
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