Subsection 3: Financial guarantee

I. – The guarantee provided for in article L. 519-4 is triggered by the default of the intermediary in banking transactions and payment services, without the guarantor being able to claim the benefit of discussion or division from the creditor. Default by the guaranteed party is deemed to have occurred one month after the date of receipt by the guaranteed party of a registered letter demanding payment of the sums…

The financial guarantee ceases if the guarantor’s undertaking is terminated on its expiry date. It also ceases on the death or cessation of activity of the guaranteed person or, in the case of a legal entity, on the dissolution of that entity. Under no circumstances may the guarantee cease before the expiry of a period of three clear days from the date on which the body referred to in article…