Section 688.- When the creditor demands performance of the obligation from the surety, the latter may require that the debtor be first called upon to perform unless the debtor has been adjudged bankrupt, or his whereabouts in Thailand is unknown.

 

Section 689.- Even after the debtor has been called upon as provided in the foregoing Section, if the surety can prove that the debtor has the means to perform and that execution would not be difficult, the creditor must first make execution against the property of the debtor.

 

Section 690.- If the creditor holds real security belonging to the debtor, he must, on request of the surety, have the obligation performed first out of the real security.

 

Section 691.- If a surety is bound jointly with the debtor, he has not the rights mentioned in Section 688, 689 and 690.

 

Section 692.- An interruption of prescription against the debtor is also an interruption against the surety.

 

CHAPTER III

EFFECTS AFTER PERFORMANCE

 

Section 693.- The surety, who has performed the obligation, has a right of recourse against the debtor for the principal and interest, and for the losses or damages which he may suffer by reason of the suretyship.

He is subrogated to the rights of the creditor against the debtor.

 

Section 694.- In addition to the defences which the surety has against the creditor, he can also set up defences which the debtor has against the creditor.

 

Section 695.- The surety, who neglects to set up against the creditor, defences of the debtor loses his right of recourse against the debtor to the extent of these defences, unless he proves that he did not know of such defences and that his ignorance was not due to his fault.

 

Section 696.- The surety has no right of recourse against the debtor, if he performs the obligation without informing the debtor who, in ignorance or the fact, performs it.

In such case, the surety may have only an action for undue enrichment against the creditor.

 

Section 697.- If, owing to the creditor’s own acts, the surety cannot be subrogated wholly or partially into the creditor’s rights, mortgages, pledges and preferential rights which have been given before or at the time of suretyship for the performance of the obligation, the surety is discharged to the extent of the injury suffered by him thereby.