The guarantors assume joint and several liability for the non-fulfillment or improper fulfillment of the obligations of the general contractor to repay the advance payments made by the customer to the general contractor for the purpose of performing construction work.
The surety is responsible for covering any potential sanctions associated with the return of advance payments that the general contractor is legally obligated to repay to the customer, as stipulated in the general contract and/or applicable legislation.
Such a surety contract may be utilized as an independent means of securing obligations or in conjunction with other forms of collateral.