What is a warranty?
A major term which goes to the heart of the contract
A minor term of the contract
What is the available remedy for the innocent party for breach of warranty?
Termination of the contract only
Damages only
Termination and damages
In Bettini v Gye, what type of term was breached?
Condition
Warranty
Innominate term
What is a condition?
Why is it important to make the distinction between conditions and warranties?
To ensure the right remedy is awarded to the innocent party
To make it easier to get out of an inconvenient contract
It isn't important
In Behn v Burness, what type of term was breached?
What is the available remedy for the innocent party for breach of condition?
Termination of contract only
Termination of contract and damages
Which case established the innominate term approach?
Poussard v Spiers
The Mihalis Angelos
Hong Kong Fir Shipping v Kawasaki
What is the innominate term approach?
Where the courts allow parties to repudiate contracts that are inconvenient
Where the courts look at the result of the breach before making a decision about remedies
Where the courts award no remedies
This approach has been criticised for creating increased litigation and uncertainty
True
False
In Schuler v Wickman Tools, how did the courts classify the term of the contract regarding salesman visits?
Innominate
What did the court state in Bunge Corporation v Tradax regarding the innominate term approach?
All terms should be classified as innominate
The approach should only be used where it is impossible to classify
The approach should never be used again