Sociology | Mercantile Law | International Law | International Relations

Essentiality

Condition
A condition is stipulation; essential to the main purpose of contract therefore, it’s very essential to the contract. It goes direct to the roots of the contract.
Warranty
Warranty is stipulation; collateral to the main purpose of the contract. Its essentiality is lessor than that of condition as it does not form the basis of contract.

Breach

Condition
Breach of condition will give right to the injured party to repudiate the contract.
Warranty
The repudiation of contract will not be the result of the breach of contract. But, the injured party will possess the right to recover damages.

Treatment

Condition
A condition on breach can be treated as a warranty if the injured party accepts the damages.
Warranty
The breach of warranty will not be treated as a breach of condition. The injured party can demand for damages only and can’t cancel the contract.