FORM OF GUARANTEE FOR MECHANICAL OR ELECTRICAL ENGINEERING WORKS
WHEREAS by an agreement dated_________20_____ and made
________________________ (insert the name, address etc. of the purchaser) (hereinafter called ‘the purchaser’) of the ONE PART.
________________________ (insert the name, address etc. of the contractor) (hereinafter called ‘the Contractor’) of the OTHER PART.
the parties thereto entered into a contract as therein stated: Now we hereby jointly and severally guarantee to the purchaser punctual, true and faithful performance and observance by the contractor of the covenant on his part contained in the said agreement and undertake to be responsible to the purchaser, his legal heirs, successors or assigns as sureties for the contractor for the payment by him of all sums of money losses, damages, costs, charges and expenses that may become due or payable to the purchaser, his legal heirs, successors or assigns by or from the contractor by reason or in consequence of the default of the contractor in the performance or observance of his said covenant but so nevertheless that the total amount to be demanded or recovered by the purchaser, his legal heirs, successors or assigns of or from us as sureties shall not exceed fifteen percent of the contract price.
This guarantee shall not be revocable by notice or by reason of the death of us or either of us and our liability as sureties hereunder shall not be impaired or discharged by any extensions of time or variations or alterations made, given, conceded or agreed (with or without our knowledge or consent) under the general conditions referred to in the said agreement or (where the purchaser or the contractor is a firm) by any change in the constitution of the purchaser’s or the contractor’s respective firms.
[Signatures [and seals] of guarantors]