The Hungarian Civil Code governs collateral agreements in a separate chapter. Some forms of collateral are accessory in nature, ie are dependent on the principal claim (eg a suretyship), others are independent. Section 249 of the Hungarian Civil Code expressly includes in the second group bank guarantees by which a bank obliges itself to make payment to the beneficiary in accordance with the conditions in the statement of indemnity, and within the agreed period of time.
November 01 1998