Mark the correct answer in respect of Contract of Guarantee.
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It may be in writing.
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It may be oral.
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Both (1) and (2)
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Neither (1) nor (2)
C
Correct answer
Explanation
A contract of guarantee can be formed either orally or in writing under Indian contract law. There is no legal requirement for a guarantee to be in writing to be valid, though written documentation is practically advisable for evidentiary purposes. Both modes of formation are legally recognized and enforceable.