In such a case it is also very common for the bank to waive the right to use the counterclaims of the main debtor arising from the main contract, in advance (Bürgschaft auf erstes Anfordern). The Bürge has to pay on demand. This means that, for example, the question whether the manufacturer has performed in an unsatisfactory manner, becomes totally irrelevant in the lawsuit between the bank and the creditor, but will be relevant if the bank as Bürge sues the main debtor. This resembles a gurantee on demand.

http://www.ej-international-litigation-safer-export.com/Comp...

X. Produkthaftung
1. Soweit der Lieferant für einen Produktschaden verantwortlich ist, ist er verpflichtet, uns insoweit von Schadenersatzansprüchen Dritter auf erstes Anfordern freizustellen, als die Ursache in seinem Herrschafts- und Organisationsbereich gesetzt ist und er im Außenverhältnis selbst haftet.

X. Product liability
1. If and to the extent that the supplier is responsible for loss or damage caused by the product, the supplier shall be obligated to indemnify us on first demand against damage claims of third parties as far as the cause is within the supplier's sphere of control and organisation and the supplier is liable to third parties.

http://www.doehler.com/servlets/main/agb_en.html