Types Of Terms Flashcards
Conditions
An important term, if this isn’t complied with then the contract can be repudiated (ended) - Poussard v Spiers and Pond
Warranties
A minor term, If this is breached, the contract does not come to an end, but damages can be claimed - Bettini v Gye
Innominate terms (1)
It is unclear whether this is a condition or a warranty. The consequence of the breach is decided by the court, if the breach deprives you of the substantial benefit from the contract it is a condition - Hong Kong Fir Shipping Co. Ltd. V Kawaski Kisen Kaisha Ltd.
Innominate terms (2)
How they decide:
- Judges can take into account the intention of the parties, meaning if there is an error, the judge can make a decision based on what is just - Arnold v Britton (2015)