Can a guarantor be discharged from a contract where there has been dealing with or altering of the security?
Saskatchewan, Canada
The following excerpt is from Gray-Campbell v. Jamieson, 1923 CanLII 122 (SK CA):
Cases in which there has been a dealing with or altering of the security are not to be confounded with cases in which there has been an alteration of the original contract guaranteed, without the consent of the guarantor. In this latter class of cases, the guarantor would be discharged, on the ground that he had never guaranteed the altered contract, unless it was self evident that the alteration was unsubstantial, or one which could not be prejudicial to the guarantor. Egbert v. Northern Croivn Bank 1918 CanLII 508 (UK JCPC), [1918] A.C. 903, 87 L.J.P.C. 186, [1918] 3 W.W.R, 132.
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