Bsiness Law

Condition and Warranties

 Condition and Warranties
Condition
• A condition is a stipulation essential to the main purpose of the
contract, the breach of which gives rise to a right to treat the
contract as repudiated/ rejected.
• A stipulation in a contract of “sale of goods” which are the
subject thereof may be a condition or a warranty.

warranty
• A warranty is a legally enforceable promise that certain facts and
representations about a product are true.
 Condition and Warranties
• Condition
• Condition is a stipulation which is
essential to the main purpose of the
contract.
• It is of vital importance
• In case of breach of condition, the
buyer may put an end to the contract.
• A breach of condition may be treated
as a breach of warranty.
• Warranties
• Warranties are subsidiary or collateral
to the main purpose of the contract.
• It is not of vital importance. The main
contract can be completed even if
warranty is not fulfilled.
• In case of breach of warranty, the
buyer cannot put an end to the
contract. He can only claim damages
from the seller.
• A breach of warranty cannot be
treated as a breach of condition.