1.1 In consideration of the obligations of the Client under the Agreement, the Guarantor as primary obligatory and not merely as surety hereby irrevocably and unconditionally guarantees to the Factor the due and punctual payment to the Factor of all sums payable now or in the future by the Client under the Agreement as and when the same become due and unconditionally undertakes with the Factor that whenever the Client fails to make payment when due, of any sum, whatsoever under the Agreement, the Guarantor shall, on the first demand of the Factor, pay all sums in respect of which default has been made to the Factor, without any right of set off and clear of any deductions or withholding to such account as the Factor shall direct.