Marbury Surety, Inc., agreed to act as a guarantor of collection of Madison’s trade accounts for one year beginning on April 30, 1980, and was compensated for same. Madison’s trade debtors are in default in payment of $3,853 as of May 1, 1981. As a result:

a. Marbury is liable to Madison without any action on Madison’s part to collect the amounts due.

b. Madison can enforce the guaranty even if it is not in writing because Marbury is a del credere agent.

c. The relationship between the parties must be filed in the appropriate county office because it is a continuing security transaction.

d. Marbury is liable for those debts for which a judgment is obtained and returned unsatisfied.

AppendixLO1