Law · Corporate and Commercial Law
Which statement regarding letters of comfort is correct?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1They always guarantee absolute legal liability upon the writer
- 2They are commonly issued by parent companies to support borrowing by subsidiaries✓
- 3They are identical in legal enforceability to a bank guarantee
- 4They act as a legally binding payment method
Correct answer
They are commonly issued by parent companies to support borrowing by subsidiaries
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Law?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Corporate and Commercial Law MCQs →Want more practice questions on Corporate and Commercial Law?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Law · Corporate and Commercial Law