Legal basis: Civil Code of People's Republic of China (PRC).
Article 691 The scope of suretyship includes the principal creditor's right and its interest, liquidated damages, damages and expenses for realizing the creditor's right. Unless otherwise agreed by the parties, such agreement shall prevail.
Article 693 Where the creditor of a general surety fails to bring a lawsuit against the debtor or apply for arbitration during the suretyship period, the surety is no longer liable for suretyship.
If the creditor of joint and several liability guarantee fails to ask the guarantor to bear the guarantee responsibility during the guarantee period, the guarantor will no longer bear the guarantee responsibility.