§ 420 — Guaranties to sellers of liabilities of buyers under retail instalment contracts

§ 420. Guaranties to sellers of liabilities of buyers under retail\ninstalment contracts. (a) No guaranty given to the seller or to the\nseller and the seller's assignee of the liabilities of a buyer under a\nretail instalment contract shall be valid unless the guaranty is\nincorporated in or endorsed on the contract or identifies the contract\nand specifies the time balance thereof. A copy of the guaranty and the\ncontract to which it relates shall be given or mailed to the guarantor\nupon or immediately after the execution and delivery of the guaranty by\nthe guarantor. As used in this section, "retail instalment contract" and\n"contract" include a retail instalment obligation and a retail\ninstalment contract as defined in the motor vehicle retail instalment\nsales act, constituting article nine of this chapter. This section does\nnot apply to a guaranty made by a seller or a holder of a retail\ninstalment contract.\n (b) No guaranty given to the seller or to the seller and the seller's\nassignee of the liabilities of a buyer under a retail instalment\ncontract shall relate to any future retail instalment contracts.\n