CHAPTER 30 - PARTIES IN GUARANTEES

•     Principal: Principal (Applicant) means the party indicated in the guarantee as having its obligation under the underlying relationship supported by the guarantee. The applicant may or may not be the instructing party.

•     Guarantor Bank: Guarantor is the institution that issues the bank guarantee. As per URDG 758 guarantor means the party issuing a guarantee, and includes a party acting for its own account.

•     Advising Bank: Advising party means the party that advises the guarantee at the request of the guarantor. Also known as Receiving Bank.

•     Beneficiary: Beneficiary means the party in whose favour a guarantee is issued.