(Four Minutes Read)

These are terms used in everyday contract. It can determine the extent of your liability or minimize it. These terms have different meaning in law than what it's colloquial meaning.

Conditions: [/b]It is an obligation in contractual dealings. It goes to the basics, the root of the contract. Where this term is used, it's connotes the essential nature of that part of the contract, so essential that if it is breached; it my be considered as a substantial failure to perform the contract in its entirety. When there is a breach of Condition, the buyer may reject the goods and refuse to pay. He may treat the contract as repudiated, and refuse to perform his own part of the contract and treat the contract as ended. Also,a party[i](who has conscience, lol!)[/i] may decide to waive a breach of condition or treat the breach as a breach of warranty

Scenerio:
Mr. A buys 50 truck load of Rice of Mrs. B, on the condition that the Banana must not be ripened. Mrs. B supplied 20 trucks of overiped banana to Mr. A.
Mr. A may refuse to pay, he may also sue for damages for losses incured for breach of the condition.

[b]Warranty:
A warranty is also a contractual term. It's non performance does not go to the root of the contract; in other words failure to perform a warranty is not fundamental as that of a condition. Where a contractual warranty is breached the other party's remedy is a claim for damages.
[b]
The major distinction between Condition and Warranty [/b]is not determined solely on its own. Neither is it written that this term is warranty or condition.
The difference between both terms depends on the construction of the contract. The difference is not fool proof. A provision in a contract may actually be a warranty although disguised as a condition, except where it is expressly made clear that the parties to the contract so wish to contract thus.

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