MBAL-105: Legal Aspects in Business – Unit 10

MBAL-105: Legal Aspects in Business – Unit 10

Objectives: describe the meaning of terms ‘Condition’ and ‘Warranty’ in relation to sale and purchase of goods; distinguish between ‘Warranty’ and ‘Condition’; discuss as to when a condition may be treated as a warranty; and explain the fundamental principle of sale of goods, viz., Doctrine of Caveat Emptor.

Materials:
The relevant material is available here.

Questions:

1. Define and Distinguish between ‘warranty’ and ‘condition’.
2. What is the doctrine of ‘Caveat Emptor’?What are the exceptions to this doctrine?
3. Discuss the provisions of Sale of Goods Act relating to be implied conditions in a contract of ‘Sale by sample’.
4. Under what circumstances does a ‘Condition’ descend to the level of a ‘Warranty’.
5. State the two implied warranties in a contract of sale of goods.