Sale of Goods Act Section 13 — When condition to be treated as warranty
CHAPTER II FORMATION OF THE CONTRACT — Conditions and waranties
Commercial / Corporate
Summary
Sub-section (1) states that when a sale contract includes a condition that the seller must fulfil, the buyer has two choices if that condition is breached. The buyer can either give up (waive) the condition, or choose to treat the breach as if it were only a breach of warranty. This means the buyer does not have to treat the breach as a reason to cancel the entire contract.
Sub-section (2) deals with contracts that cannot be split into parts, where the buyer has already accepted the goods or part of them. In such a case, a breach of any condition by the seller can only be treated as a breach of warranty, not as a reason to reject the goods or cancel the contract. This rule applies unless the contract itself, whether stated explicitly or implied, says otherwise.
Sub-section (3) clarifies that this section does not change situations where the law already excuses the fulfilment of a condition or warranty because it is impossible or for some other legal reason.
Official Text
(1) Where a contract of sale is subject to any condition to be fulfilled by the seller, the buyer may waive the condition or elect to treat the breach of the condition as a breach of warranty and not as a ground for treating the contract as repudiated.
(2) Where a contract of sale is not severable and the buyer has accepted the goods or part thereof, 1*** the breach of any condition to be fulfilled by the seller can only be treated as a breach of warranty and not as a ground for rejecting the goods and treating the contract as .repudiated, unless there is a term of the contract, express or implied, to that effect.
(3) Nothing in this section shall affect the case of any condition or warranty fulfilment of which is excused by law by reason of impossibility or otherwise.