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Guarantee: contract clause
Clause wording to include in a contract for a company to guarantee the obligations of one party to a contract. Suitable where the guarantor and the guaranteed party are both companies incorporated in England and Wales.
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When do I use this document?
- for guarantee clauses to be included in a contract
- for a guarantee where both guarantor and the guaranteed party are incorporated in England and Wales
What key features are included?
- guarantor to be included as party to the contract
- guarantee undertakings given by way of both guarantee and indemnity
- standard creditor protections for the continuing effect of the guarantee
- warranties from the guarantor
- provision for contract to be executed as a Deed
What else do I need to know?
One party to a contract may require that the other party’s obligations under the contract are guaranteed by another person. Rather than entering into a separate deed of guarantee, the guarantee obligations and related wording can be included in the contract itself, with the guarantor also becoming a party to the contract.
What other documents are available?
For a standalone form of guarantee to be given by a company (as opposed to an individual), see
For a form of guarantee to be given by an individual (as opposed to a company), see Guarantee:
When do I use this document?
- for guarantee clauses to be included in a contract
- for a guarantee where both guarantor and the guaranteed party are incorporated in England and Wales
What key features are included?
- guarantor to be included as party to the contract
- guarantee undertakings given by way of both guarantee and indemnity
- standard creditor protections for the continuing effect of the guarantee
- warranties from the guarantor
- provision for contract to be executed as a Deed
What else do I need to know?
One party to a contract may require that the other party’s obligations under the contract are guaranteed by another person. Rather than entering into a separate deed of guarantee, the guarantee obligations and related wording can be included in the contract itself, with the guarantor also becoming a party to the contract.
What other documents are available?
For a standalone form of guarantee to be given by a company (as opposed to an individual), see
For a form of guarantee to be given by an individual (as opposed to a company), see Guarantee:
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Updated by a lawyer on 05/09/2024
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