Sale of Goods Act 1957 · Updated to 1 Jan 2006 · Chapter II
12. Condition and warranty
Feedback & supportA stipulation in a contract of sale with reference to goods which are the subject thereof may be a condition or warranty.
goods
“goods” means every kind of movable property other than actionable claims and money; and includes stock and shares, growing crops, grass and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale; a person is said to be “insolvent” who has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due, whether he has committed an act of bankruptcy or not;
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.
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 the goods and treat the contract as repudiated.
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Whether a stipulation in a contract of sale is a condition or a warranty depends in each case on the construction of the contract.
The stipulation may be a condition, though called a warranty in the contract.