Express Warranty Definition Example How Does It Work

Express Warranty Definition

Many of the purchases we make are covered by a warranty. A warranty is a promise made by the supplier/manufacturer to either replace or repair the product if it is faulty or not up to the quality assured. Warranties help to promote the product about its quality and reliability. In addition, it gives the right consumers to deal with the seller concerning the product’s performance and quality.

Example

This warranty is conveyed to the buyer in three possible ways:

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How Does it Work?

It is a statement of fact or promise made by the seller to the buyer relating to goods, which becomes part of the basis for buying or bargaining. It means that the purchase has been made based on the seller’s assumption that goods or services were as stated. The warranty statement made by the seller must be specific & subjective. It can be an affirmation or statement relating to goods, a description of the goods, or any sample. Also, the statement of opinions does not create any express warranty. The test of reliance concerning the reasonableness of promise should be looked into. When any contract is made based on the understanding that the seller would supply the goods as per the description stated or sample, the seller is bound by this warranty that the goods provided will conform to specification and sample.

In case of a full warranty, the seller promises to repair or replace the product at no charge to the consumer. In the case of a limited warranty, it covers all aspects which are not covered by a full warranty.

Why Does it Matter? – Consumer Point of View

Express warranty protects the consumer against the quality or performance and reserves the right to claim damages from the seller. However, a buyer must be careful concerning the warranties obtained. The buyer should try to obtain the written warranties. These warranties need not be in writing; oral statements could be relied on but are difficult to prove. Warranty laws allow some sales talks, usually called puffery or exaggeration. They don’t constitute a warranty.

Legal Implications

It is a breach of warranty if any express warranty provided is false. Warranty laws contain provisions to provide written warranties for consumer products costing more than a certain amount before the sale. The seller has to put the written warranties along with the product or display any sign that warranties can be checked upon request. While selling their products and services, most companies provide a written list of warranties.

In case of any advertisement for a product, it should also tell the consumer how to obtain a copy of the warranty before buying the product. This includes all advertisements made via email or telephone.

Differences Between Express Warranties and Implied Warranties

The following are the differences as shown below:

#1 – Express Warranties

The seller expressly makes these of the product.In most cases, these are provided in writing by the seller.These are not deemed warranties.

#2 – Implied Warranties

The law creates these upon the sale of any goods or services.Implied warrantyImplied WarrantyAn implied warranty is either an oral or contractual legal term in any sale with the assurance that the product sold to the customer will meet their expectation & the purpose it needs to serve. It is not applicable for services.read more of merchantability states the product will perform for what it is designed for at a reasonable level.Implied warranty of fitness states that the product will work reasonably based on the assumptions or intention of the consumer.These are deemed warranties created by the law and are automatic upon sale.

If an express warranty exists, it shall not be construed that the implied warranty doesn’t exist. When both express and implied warranties are present, it should be assumed that both are consistent with each other and cumulative. If such an assumption is not reasonable, then express warranty prevails over the implied warranty except in the implied warranty of fitness for a particular purpose.

Breach of Warranty

When there is any breach of warranty of any type, he has to prove the existence of a warranty. First, the scope of the warranty provides & how the seller has breached the warranty. In such a case, then the buyer can

Rightfully reject the goods for nonconforming to the initial promise made by the seller and call for the cancellation of the contract.Accept the nonconforming goods and can recover the damages from the seller for breach of the warranty in the name of damages.If the seller fails to deliver the goods to the buyer, the buyer can exercise the same rights in case of a rejection or seek goods recovery.

Conclusion

Express and implied warranty are two different types of warranties available for the buyer. It is clearly expressed either in written or oral form by the seller, and any implied warranty is provided by law upon the sale of goods or services. Mere opinions or puffery cannot be construed as an express warranty.

In case of breach of warranty, the onus of a breach is on the buyer. He has to prove the existence, scope, and manner of breach of a warranty to exercise his rights.