Under section 12 of the Sale of Goods Act, 1930, what is a stipulation collateral to the main purpose…
Section 12 distinguishes a condition essential to the main purpose of a sale contract from a warranty collateral to that purpose. Breach of a warranty gives rise to damages…
Choose your answer
Under section 12 of the Sale of Goods Act, 1930, what is a stipulation collateral to the main purpose of a contract of sale called?
Answer and explanation
Correct answer B
Section 12 distinguishes a condition essential to the main purpose of a sale contract from a warranty collateral to that purpose.
Breach of a warranty gives rise to damages without a right on that ground to reject the goods and treat the contract as repudiated.
Option feedback
Option A
A condition is essential to the main purpose of the sale contract.
Option B
A warranty is collateral to the main purpose of the sale contract.
Option C
Guarantee is not the term section 12 uses for this type of contractual stipulation.
Option D
A representation may induce a contract. The statutory category for a collateral stipulation in a sale is warranty.
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