Key Point
The fact that a term is labelled as a ‘condition’ is not conclusive in legally classifying the term as a condition instead of a warranty.
Facts
- Schuler (C) was a tool manufacturer which contracted with Wickman (D), to grant D sole rights to sell Schuler products in the UK
- Clause 7b stated an explicit ‘condition’ that Wickman must send a salesperson to every single company of carmakers on a specific list on a weekly basis
- This was not achieved as not all visits were made
- On those grounds, C terminated the contract arguing a breach of condition
- D argued that C had terminated the contract wrongfully
Issue
Was the fact that a term was called a ‘condition’ conclusive?
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