Explanation of Article 605
The article clarified the effect of partial payment of the guaranteed debt; if the debtor pays part of the guaranteed debt, the guarantee is extinguished to the extent that the debtor has paid, and the guarantor remains liable for the remaining debt. This is due to the guarantee's dependency on the guaranteed debt; the guarantee follows the existence and non-existence of the guaranteed debt and follows its increase and decrease. This is what Article (604) has established.
If the debtor pays part of the guaranteed debt and then becomes insolvent or bankrupt, the creditor cannot revert to the guarantor except for the remaining debt after the partial payment. This ruling is contained in the first paragraph of this article.
The second paragraph clarified that if the partial payment made by the debtor for the guaranteed debt is from debts that the creditor has the right to present, the guarantor can only revert to the debtor for the amount paid from the debt. However, if the partial payment made by the debtor for the guaranteed debt is from debts that the creditor does not have the right to present, the guarantor can only revert to the debtor for the amount paid from the debt. This is because the guarantee is not extinguished except by full payment of the debt. If the partial payment made by the debtor for the guaranteed debt is from debts that the creditor has the right to present, the guarantor can only revert to the debtor for the amount paid from the debt. However, if the partial payment made by the debtor for the guaranteed debt is from debts that the creditor does not have the right to present, the guarantor can only revert to the debtor for the amount paid from the debt.
This ruling is contained in the second paragraph of this article. The rationale is that if the guarantor pays the debt to the creditor and then the debtor becomes bankrupt, the guarantor enters into the procedures for liquidating the debtor's assets and loses the right to revert to the debtor for the amount that the creditor could have claimed. Consequently, the guarantee is extinguished to the extent that the guarantor's right to revert to the debtor has lapsed.
The article indicated that this ruling is not of public order; therefore, it is permissible to agree otherwise.
Related To
Article 605
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If a debtor or a surety makes a valid assignment of all or part of the debt covered by the suretyship to another person, the debtor and the surety shall be discharged to the extent of such assignment.
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If an assignment provides for the discharge of only the surety, he shall be discharged to the exclusion of the debtor.