kezesség

Kezesség is a Hungarian term that translates to "guarantee" or "surety" in English. It refers to a legal obligation undertaken by one party (the guarantor or surety) to answer for the debt or default of another party (the principal debtor). This ensures that a creditor can still recover their losses if the primary debtor fails to fulfill their obligations.

In practice, a kezesség agreement typically involves three parties: the creditor, the principal debtor, and the guarantor. The guarantor's promise is to step in and pay the debt or perform the obligation if the principal debtor cannot. This can take various forms, such as guaranteeing payment of a loan, ensuring the completion of a contract, or covering potential damages.

The legal framework surrounding kezesség in Hungary is governed by the Civil Code. It outlines the conditions under which a kezesség agreement is valid, the extent of the guarantor's liability, and the rights and obligations of all parties involved. For a kezesség to be legally binding, it generally must be in writing and clearly specify the extent of the guarantor's commitment.

Kezesség is a common practice in financial transactions, commercial agreements, and even in some personal arrangements. It provides a mechanism for reducing risk for creditors and facilitating transactions that might otherwise be considered too risky. However, it also places a significant responsibility on the guarantor, as they could become personally liable for substantial financial obligations. Understanding the implications and scope of a kezesség agreement is crucial for anyone considering entering into such an arrangement.