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What constitutes a breach of warranty?
In legal terminology, the word warranty is used to identify a less important term of the contract. If a warranty is breached, the innocent party may sue for damages for the loss suffered, but he is not allowed to terminate the contract.
What is the difference between a breach of condition and a breach of warranty?
The condition is vital to the theme of the contract while Warranty is ancillary. In the case of breach of condition, the innocent party has the right to rescind the contract as well as a claim for damages. On the other hand, in breach of warranty, the aggrieved party can only sue the other party for damages.
What is the legal effect of a breach of a condition and a breach of a warranty?
A warranty is not as important as a condition. A breach of a warranty will not render the contract impossible to perform, as breach of a condition might. As such the breach of a warranty entitles the innocent party to damages only.
When can a breach of condition be treated as a breach of warranty?
[Section 13(1)] Acceptance of goods by buyer: Where a contract of sale is not severable, i.e. it is indivisible and the buyer has accepted the goods or part thereof, the breach of any condition is to be treated as a breach of a warranty.
What happens if a condition is breached?
If a condition, the party can terminate the contract. However, if the nature and effect of the breach, at the time the breach occurred, does not deprive a party of the whole of the benefit of the contract, then the term will be considered a warranty and that party will only be able to sue for damages.
What is condition and warranty in contract law?
Warranty and condition in contract law refer to specific stipulations set in a contract of sale. Warranty and condition in contract law refer to specific stipulations set in a contract of sale. A contract is an agreement that takes place between two parties to complete a mutual transaction.
What would be possible defenses to a breach of warranty claim?
The simplest defense to a breach of warranty action is that there is no warranty. If the defendant can show that the claimed statements were mere puffer and did not become part of the benefit of the bargain, then the defendant can show that no express warranty existed.
What is breach of warranty of merchantability?
If it turns out the shoes are not fit for long distance running, Bill has breached an implied warranty and can be held liable. The warranty of merchantability states that if goods are supplied by a seller who deals in goods of that kind, a warranty is implied that the goods are of an average quality.
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