In the cases mentioned in § 56-1-12, the removal of the principal from the state, leaving no property therein from which the obligation might be satisfied, is equivalent to the insolvency of the principal in its effect upon the rights and obligations of the guarantor.
S.D. Codified Laws § 56-1-13
Recovery upon guaranty that obligation is good or collectible
Source: SDC 1939, § 26.0108.
Official source: South Dakota Legislature. Reproduced from public-domain South Dakota statutes; confirm against the official source for the current text. Not legal advice.