CONDITIONS & WARRANTY

SECTION 12- SALES OF GOODS ACT 1957

(1)A stipulation in a contract of sale with reference to goods which are the subject thereof may be a condition or a warranty.

(2) 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.

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

(4) 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.