Condition

Section 12(2) of the Sale of Goods Act defines the condition as follows..
A condition is a stipulation essential to the main purchase of the contract, the breach of which gives rise to a right to treat the contract as repudiated.

Warranty
Section 12(3) defines warranty as follows
A warranty is a stipulation collateral to the main purpose of the contract, the breach of which gives rise to a claim for damages but not to a right to reject goods and treat the contract as repudiated

Distinction between a Condition and a Warranty

A condition is a term which is essential to the main

purpose of the contract and it goes to the root of the contract and avoids the contract. Warranty is a term which is only collateral to the main purpose of the contract and it will not go the root of the contract. The main purpose of the contract cannot be fulfillment unless the condition is fulfilled. Fulfillment of a contract does not depend upon the fulfillment of a warranty.

 A breach of condition would entitle the other party to

repudiate contract altogether. A breach of warranty will give right only to claim damages and not avoid the contract A breach of condition may be treated as warranty and the affected party may satisfied with damaged only. A breach of warranty cannot be treated as a breach of condition

Express and implied conditions and warranty

In a contract of sale of goods, the conditions and warranties may be express or implied. When the conditions and warranties are definitely written in the contract, they are called express conditions and warranties.

Implied conditions
One of the most important features of the Sale of Goods Act is the it contains various conditions and warranties which are implied in every contract of sale in the absence of contract to the country Some of important implied conditions.. 1. Conditions as to title of good sold(sec.14) As per section 14(A) of the Sale of Goods Act in every contract of sale there is an implied condition that the seller has got a right to sell the goods.

2. Goods sold should correspond to description(sec.15) where there is a contract of sale of goods by description there is an implied condition that the goods shall correspond with that description.

3. Condition as to quality or fitness[section.16(1) ] Generally the seller need not disclose the faults in the goods nor need he guarantee that goods are fit for the purpose of the purchaser. 4. condition as to Merchantability [section 16(2)] Under section 16(2) where goods are bought by description from a seller who deals in goods of that description, there is an implied condition that the goods shall be of merchantable quality.

5. Condition as to wholesomeness This condition applies only in the case of provisions and food stuffs. 6. condition as to sample (sec.17) Whenever we want to purchase goods generally we see some sample of those goods which we intent to purchase. After seeing the sample and satisfying ourselves with the sample, we will place order asking the dealers to supply goods would correspond to the sample.

Implied warranty
There are three implied warranties in a contract of sale as provided in the Sale of Goods Act.
1. Warranty for quiet possession[sec 14 (b) ] Under sec 14 (b) in every contract of sale, there is an implied warranty that the buyer shall have and enjoy quiet possession of the goods. 2. Implied warranty against encumbrance [sec.14 (b)] There is also implied warranty in all cases of sale that the goods are not subject to any charge or encumbrance in favour of third parties which is not disclosed or known to the buyer before or at any time when the contract is made.

3. Implied warranty as to usage of trade [sec.16] (3)] According to section 16 (3) an implied warranty as to quality or fitness for a particular purpose may be fixed by the usage of trade.

DOCTRINE OF CAVEAT EMPTOR

Caveat Emptor is a Latin expression which means buyers beware. The doctrine of caveat emptor means that ordinarily a buyer must buy goods after satisfying himself of their quality and fitness. If the makes a bad choice he cannot blame the seller or recover damages from him.

Exceptions of the Doctrine of Caveat Emptor

1. Fitness for buyers purpose: Where the buyers makes known to the seller the particular purpose for which he requires the goods and relies on the sellers skill or judgment and the goods are of a description which it is in the course of the sellers business to supply, the goods which shall be fit for the buyers purpose. 2. Sale under a patent or trade name: In the case of a contract for the sale of a specified article under its patent or other trade name, there is no implied conditions that the goods shall be reasonably fit for any particular purpose.

3. Merchantable quality: Where goods are bought by descriptions from a seller who deals in goods of that description(whether he is the manufacturer or producer or not) there is an implied condition that the goods shall be merchantable quality. 4. Usage of trade: An implied warranty or condition as to quality or fitness for a particular purpose may be annexed by the usage of trade

5. Consent by fraud: Where the consent of the buyer in a contract of sale is obtained by the seller by fraud or where the seller knowingly conceals a defect which could not be discovered on reasonable examination (i.e. where there is a latent defect in the goods) the doctrine of Caveat Emptor does not apply.