Is the guarantor's liability removed if the pledgee wrongfully seizes the collateral from the trustee and then returns it to the trustee?
General Chapter
Al-Mughni
Book of Pledges (Collateral)
Primary text
The guarantor's liability is removed if the pledgee seizes the collateral from the trustee (al-Adl) and subsequently returns it to the trustee. This is because the return places the collateral back into a position analogous to returning it to the owner's hand, thereby absolving the initial liability incurred by the wrongful seizure.