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Terms: Malaysian law - Coggle Diagram
Terms: Malaysian law
Terms
Conditions
- Roots of a contract
- Breach can result in damages/discharge or both
- Discharge entitles the innocent party to repudiate the contract
Poussard v Spiers & Pond (1876):
- Facts: An opera singer failed to appear on the opening night
- Held: This was a breach of condition, which entitled the injured party to treat the contract as ended
Warranties
- A less important term, incidental to the main purpose of the contract
- Breach of warranty results in damages only
Bettini v Gye (1876):
- Facts: An opera singer failed to attend rehearsals
- Held: It is a breach of warranty. The injured party could not treat the contract as ended. Only entitled to damages only
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Intermediate terms
- An innominate/indeterminate term can turn out to be a condition or a warranty. It will depend on the consequence (severity) of the breach
- If trivial - warranty = DAMAGES ONLY
If serious - condition = DAMAGES, DISCHARGE OR BOTH
The Hansa Nord (1976):
- Facts: Some of the ship's cargo arrived in poor condition. Buyer rejected the whole cargo
- Held: Only remedy is damages. The breach is insufficient to justify the contract ended = warranty