{"id":2296,"date":"2022-02-13T21:47:05","date_gmt":"2022-02-13T21:47:05","guid":{"rendered":"https:\/\/uk.legalvision.com.au\/?p=2296"},"modified":"2024-05-07T05:14:06","modified_gmt":"2024-05-07T04:14:06","slug":"warranties-and-indemnities","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/commercial-contracts\/warranties-and-indemnities\/","title":{"rendered":"What is the Difference Between Warranties and Indemnities?"},"content":{"rendered":"\n

If you are operating a business, you are likely to enter into contracts frequently. If you are dealing with contracts, it is important to know the key differences between warranties<\/a> and indemnities. This can be important for allocating risk and liability in a contract, and is important for your overall contractual protection. Additionally, it can give you an idea of your rights if a dispute ends up in a court claim. <\/span>This article will explain what warranties and indemnities are. It will then offer some advice as to which you might prefer to use in your contract. <\/span><\/p>\n\n\n\n

What are Warranties?<\/span><\/h2>\n\n\n\n

First, it is important to know what contractual terms are. When you enter into a contract, you make certain promises to the other party. These promises can form part of the contract on the whole – usually referred to as contractual terms. You are bound by those terms, and breaching a term will mean that you are usually liable to pay compensation. <\/span><\/p>\n\n\n\n

Warranties are contractual terms which promise that the good or service that you are providing is of a certain quality. There is a distinction between express and implied terms<\/a> in a contract, and this applies to warranties.<\/span><\/p>\n\n\n\n

What are Express Warranties?<\/span><\/h2>\n\n\n\n

Express warranties are stated in obvious words within the contract itself. For example, if you say ‘I promise that this apple is from Blueacre Farm’, this will amount to a warranty. Notably, you do not have to use the word ‘warranty’ for a statement to qualify as one. Additionally, you can make a warranty in writing or orally. Further, warranties are relevant in commercial transactions as well as sales to consumers. As an example, if you are buying or selling machinery you will also have contractual protection through warranties.<\/span><\/p>\n\n\n\n

As a result, it is important that you are conscious of warranties and the language that you use if you make a contractual promise. <\/span><\/p>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\n

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