Legal Blog

Guarantee

Global Food Traders Inc. v. Massalin 2015 Ont CA

The word “guarantee” was not used in the agreement; however section 1 of the agreement stated that individual would replace NSF cheques of corporation and, immediately below the individual’s signature on the agreement, it stated that he was executing the agreement “solely in connection with his obligations as set forth in section 1.” That was enough for the court to hold that the individual had guaranteed the corporation’s payment obligations.