Types of Term: Conditions, warranties and innominate terms- cards checked

Question 1

What is meant by a condition?

Answer 1

-Heart of contract
-if breached innocent party can end contract and claim damages (repudiation).

Question 2

What case goes with a condition?

Answer 2

Poussard V Spiers and Pond

Question 3

Poussard V Spiers and Pond

Answer 3

-actress did not turn up for first performance
-heart of contract so contract repudiated

Question 4

What is meant by a warranty?

Answer 4

-minor term that will cause loss if breached but not central agreement
-not end the contract but give rise to damages

Question 5

What case goes with a warranty?

Answer 5

Bettini V Gye

Question 6

Bettini V Gye

Answer 6

-did not turn up for show rehersals (6 in contract).
-held a warranty
-only claim for loss of earnings.

Question 7

What is meant by an innominate term?

Answer 7

-term that can be treated as a term or warranty depending on nature of breach.
-courts decide case-by case and look at old contracts between parties/ similar businesses. (can be complicated)

Question 8

What case goes with innominate term?

Answer 8

Hong Kong Fir Shipping V Kawasaki

Question 9

Hong Kong Fir Shipping V Kawasaki?

Answer 9

-whether it should be treated condition or warranty depends on the circumstance.