Section 12 of the Sale of Goods Act, 1930 – Condition and warranty

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Section 12: Condition and warranty

  • (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 for damages but not to 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. A stipulation may be a condition, though called a warranty in the contract.

Source: official text of The Sale of Goods Act, 1930 as published on India Code (PDF). All sections of the Sale of Goods Act, 1930.