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Condition and Warranty — Meaning, Nature, Interrelation, and Case Law Analysis

๐Ÿ“˜ Condition and Warranty — Meaning, Nature, Interrelation, and Case Law Analysis 1. Introduction When two people enter into a contract for the sale of goods , they agree that the seller will supply goods and the buyer will pay for them. However, what if the goods are defective, of poor quality, or different from what was promised? To handle such problems, the Sale of Goods Act, 1930 (Sections 12 to 17) divides the seller’s promises into two types of stipulations: Conditions , and Warranties. This distinction is very important because it determines what legal remedy the buyer will get if the goods turn out defective or unsuitable. 2. Meaning of Condition (Section 12(2)) “A condition is a stipulation essential to the main purpose of the contract, the breach of which gives the buyer a right to repudiate (cancel) the contract.” ๐Ÿ”น Explanation: A condition is a fundamental term of the contract. It goes to the root of the agreement. If the seller breaks it, the buyer h...