First Principles of Business Law

Performance and breach of contract

5. Assessing the seriousness of a breach of contract

5.3. 'Warranties' in a contract

 

 

 

Read the facts and the question and then choose the best answer.

A, a graphic designer, asks B, a retailer, if he can supply a computer capable of operating particular software. B says: 'These computers we have on special offer would be fine for that software.' Relying on this assurance, A buys one of the computers. On impulse, she says she wants a red one from the available range of colours and B agrees to supply this colour. The retailer delivers a blue computer, saying red ones are out of stock. Apart from this, the computer works as promised.

A argues that the colour of the computer was important to her and that she does not want the computer at all if it is not red. In the circumstances, is B's promise to supply a red computer a fundamentally important term of the contract?

(a) Yes. It can reasonably be inferred from the circumstances that A would not have entered the contract unless she was assured of getting a red computer and this must have abeen apparent to B.

(b) No. It can reasonably be inferred from the circumstances that A would not have entered the contract unless she was assured of getting a red computer .

 

 

 

 

 

 

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