Abandonment Guarantee - Definition - Law Dictionary Home Dictionary Definition abandonment-guarantee

Definition :

Abandonment guarantee, is a contract under which a person, the guarantor undertakes to make good any default by a participator in an oil field in meeting the whole or any part of those liabilities of which arise under a relevant agreement relating to that field and are liable to contribute to field abandonment costs. Halsbury's Laws of England, Vol. 19(2), 4th Edn., para 1825, p. 1295.