7.5 Conditions and Warranties in Contract of Sale

The hierarchy: a condition is the term going to the contract's root (breach → repudiate and reject + damages); a warranty is collateral (breach → damages only). The buyer may elect to treat a condition's breach as a warranty's (waiver or acceptance converts). Implied conditions (the exam list): (i) the seller's title (the implied condition of right to sell); (ii) correspondence with description (sale by description); (iii) correspondence with sample (and sample-and- description — the stricter compound); (iv) fitness for the buyer's purpose — where the seller knows the purpose and the buyer relies on the seller's skill (the priest's-purpose rule — Priest v. Last by name only); (v) merchantable/acceptable quality — the trade's standard for goods of the description (the modern English name "satisfactory quality" — by name). Caveat emptor and its inroads: the buyer buys at his peril — unless the implied conditions apply, the seller deals as dealer-and-expert, or the seller actively conceals defects (fraud's vitiators — Law of Contract-I, Unit 5). The buyer's opportunity to examine the goods polices patent defects. Nepali frame: the Code's Chapter 6 supplies the sale's discipline, and the Consumer Protection Act 2075 adds the consumer's direct remedies — refund, replacement, compensation for defective goods and services — the statutory face beyond the common-law architecture.