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Monday, 15 August 2011

Explain implied conditions and warranties in a contract of sale of goods

Express Conditions & Warranties :-

Conditions and warranties are those which are included in clear words and all parties are agree at the time of contract.


IMPLIED CONDITIONS :-
Those conditions are not included in the contract but the law presumes their existence in the contract are called implied conditions.

Following conditions are included by law in to a contract of sale of goods.


1. Right To Sell :-
This right is considered as an implied conditions in every sale contract. It is presumed that he can sell the goods and he can enter in sale agreement.


2. Sale By Description :-
In this case implied condition is that goods shall the correspond with the description. A buyer can reject if the goods if these are not according the description.


3. Sale By Sample :-
In this case goods must be supplied according the sample agreed upon condition.

i. The buyer may be able to compare the sample with the bulk.

ii. The goods should be free from any defect.

iii. The bulk should match with the quality of the sample.


4. Sale By Sample & Description :-
In this case goods supplied must correspond with sample and description both. So there is implied condition in it that if bulk does not match with one even then buyer may reject the goods.


5. Condition of Merchantable Quality :-
Merchantable quality means that the goods must be sale able in the market as goods of that description are sold. In case of any defect a seller must inform the buyer. It is implied condition.


6. Conditions As Quality To Fitness :-
Sometimes buyer informs the seller that he wants to purchase the goods for particular purpose. It is implied condition that goods shall serve the purpose of buyer. As the buyer relays on the sellers skill then seller should provide the goods according the description.


7. Wholesomeness Condition :-
It means conductive to health. When someone makes a sale of contract about the eatable goods this condition is applied. If some one supply the goods and it damages to health then supplier will be liable for damages.

Example :- Sams Food Company supplied food on the marriage party of Mr. Vicky. After eating the food people were infected and died. The company was held liable in damages.



IMPLIED WARRANTIES

1. Possession Of Goods :-
It is an implied warranty on the part of the seller that buyer shall enjoy the quiet possession of goods sold to him without any disturbance. In case of any disturbance a buyer can claim the damages from the seller.


2. Dangerous Nature Must Be Disclosed :-
It is necessary that seller should disclose the dangerous nature of the good sold to the buyer. If he does not disclose then any type of loss suffered by the buyer will be compensated by the seller.

Example :- Mr. Noor sold the camel to Mr. naveed which is very dangerous. But he did not told about the nature of the camel. The camel killed to Mr. Baqir son of Mr. Naveed due to the ignorance of the nature of camel Mr. Noor will be liable to compensate Mr. Naveed.


3. Burden on Property :-
Before selling the goods, it is necessary that these should be free from any charge or encumbrance from any third party. If a sellers does not tell about such burden on the goods to the buyer and later on the buyer suffers a loss. The buyer can claim such damages from seller.

Example :- Mr. Khaliq the owner of a horse, pledges it with Mr. Karim. After a month, Mr. Khaliq obtains possession of the horse from Mr. Karim for some purpose and sells it to the Mr. Jawad. Mr. Karim goes to Jwad and tells him the pledge story. Mr. Jawad has to make the payment of pledged amount to Mr. Karim. In this case of breach of warranty and Mr. Jawad is entitled to claim compensation from Mr. Khaliq.

4 comments:

Edris 23 November 2011 at 08:47  

tnx for good info :)

omi lolage 7 April 2013 at 11:59  

Thank You.....For Information.....

ugyen dorji 6 December 2013 at 07:46  

thanks for the information. it really helped..!

Junaid Zahik 3 December 2015 at 18:25  

the best posts...about the implied conditions and warranties..

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