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2
Legal Environment
of Business
PGDM-(Batch 2016-2018)
Trimester-3
What is a condition
 According to section 12(2) a condition is a stipulation
essential to the main purpose of the contract , the
breach of which give rise to right to treat the contract
as repudiated .
What is a warranty
 According to section 12(3) a warranty is a stipulation
collateral to the main purpose of the contract the
breach of which rise to a claim for damages but not to
a right to reject the goods and treat the contract as
repudiated.
Difference between condition and
warranty
Basis of distinction Condition Warranty
Value A condition is a stipulation
which is essential to the main
purpose of the contract
A warranty is a stipulation
which is collateral to the main
purpose of the contract
Rights The aggrieved party can
repudiate the contract of sale
in case there is a breach of a
condition
The aggrieved party can claim
damages only in case of breach
of a warranty
Treatment A breach of condition may be
treated as breach of warranty
A breach of a warranty can not
be treated as breach of a
condition
Consumer Durable Goods
 Consumer durables are a category of consumer products that do
not have to be purchased frequently because they are made to
last for an extended period of time (typically more than three
years). They are also called durable goods.
Examples
 Scooter
 Cars
 Sports equipments
 Mobile phones
 Home appliances
 Electronics
 Furniture
Lenovo Standard Terms and Conditions of
Sale
 All the payment should be made by a/c payee cheque or DD in favors
of lenovo computers
 In case any cheque is dishonored a service charge of Rs1000 + service
tax will be charged
 Statutory forms , if applicable , must be issued in advance or else tax be
charged
 Late payment fee of 2% per month will be charged in case of delay in
payment on the outstanding invoicing value
Warranty of lenovo laptop
 The product warranty is for only 2 years
 Battery and charge warranty is only for 1 year
 Damage of screen is not comes under the
warranty
 If any part is damaged then it will be replaced
 No charges will be bear by the customer at the
warranty period .
Microwave terms and condition (L.G)
 Goods once sold not be taken back or exchanged
 Any taxes either existing or that may be imposed or
assessed in future on this shall be paid by the buyer
 The amount of the invoice is payable as stipulated time
 For any delay in payment interest @24%p.a will be charged
from invoice date until the amount of invoice is paid .
 All warranties & service obligations are manufacture
liability & responsibility .
Warranty of L.G microwave
 The warranty of micro wave is for 2 years
 The 2 year limited warranty covers any defect in materials
or workmanship and states that Sharp is obligated to cover
all costs of repairs or provide a replacement product
 10 year warranty is applicable on Charcoal Heater part only
& is applicable only on Microwaves Ovens with Charcoal
Lighting Heater
 There is no guarantee / Warranty or replacement on Start-
up Kit.
CONDITION OF Hero Maestro
 In addition to the cost of Product, buyer has to bear the registration fee
and all other applicable taxes.
 The registration will be in compliance with the applicable laws of land
and eligibility as per the applicable regulatory authorities and will be
delivered and registered in India.
 Any additional purchases, such as accessories, will be paid for in full
by the buyer to the selected dealership at price prevailing at the time of
purchase
 It is being clarified that the buyer will select and choose a dealership
for pickup of product
Warranty of Maestro
 Scooter is warranted for a period of 5 years or
50000km which ever is earlier from the date of
purchase
 Scooter battery is warranty for a period of 18
months
 If any defect is observed in the scooter the
company only obligation is to repair or replace
that part .
Conditions of Apple computer
Promotion restrictions
Gift card quantity limits
Qualifying location
Fulfillment
Procedure related to product return & exchange
General terms
Warranties
In-house warranty work
On-site warranty service
Non apple branded/ third party products
Warranty by explorer technology
Philips Standard Terms and Conditions of
Sale
 1. Price; Taxes. The purchase price stated in the
quotation does not include applicable sales, excise, use, or
other taxes in effect or later levied.
 2. Payment Terms : Credit Card. Philips, at its discretion,
will accept a credit card for payment on orders with a net
value of Rs 50,000 or less.
 3. Trade - In. If Customer will be trading-in any equipment
("Trade-In"), then:
Customer represents and warrants that Customer has
good and marketable title to such Trade-In;
Title to the Trade-In shall pass from Customer to Philips
upon Philips making the new equipment available to
Customer for first patient use. Removal of the Trade-In
from Customer's site shall occur no later than the date
Philips makes the new product available for first patient
use, unless otherwise agreed in writing between Philips
and the Customer
Warranty of music system
 1 Year from the date of invoice
 Warranty will be applicable for the products
purchased from companies authorized dealers .
 This warranty is non transferable
 Repairs will be carried out through the company.
 The warranty does not cover any accessories
external to the system
Condition and warranty of Sony
TV
 Goods once sold will not be taken back or
exchanged
 Price prevailing at the time of delivery will be
applicable
 Delivery as per availability of stock
Warranty
2 year warranty of the product sold
Only parts and service are to be covered under this
Labor cost are also excluded in warranty period
BENTLEY CARS
Condition…….
 No order shall be deemed to be accepted by
Bentley unless and until it is confirmed email or in
writing by Bentley.
 Bentley reserve the right to reject any order
 Any advice or recommendation given to customer by
Betnley , or any employee or agent, is followed or
acted upon customer risk; and Bentley shall not be
liable for such advice or recommendation.
 The representation of colors on may vary from the
actual colors.
 All goods are subject to availability and continuous
development.
 Their specification can changed may differ those
outlined on website or any publication. Bentley reserve
 Customer will liable for any import duties and
local sale tax that may be levied in country of
delivery .
 In addition to the price of goods, a packaging
and delivery charges will be payable.
 Bentley will not be responsible for returned goods
that are lost or damaged in transit.
warranty
 Each new Bentley motor car and each
replacement part or assembly manufactured or
supplied by it, is warranted by Bentley Motors
Limited (‘The Company’) to be free from defects in
material or workmanship under normal use and
service.
 The Warranty period for a new car is three years,
with no mileage limitation and commences on the
date of delivery to the first owner.
 Warranty territorial provision is based
geographically on the regional coverage
distribution of our Global Dealer Network.
 Free 5 Year Warranty on Selected Laundry
Products
 All laundry products sold by LG Electronics UK
Ltd. come with a free 2 year warranty as standard
which covers parts and labour.
 From time to time and on limited laundry product
products we extend the standard warranty period
by a further 3 years and offer a free 5 year
promotional warranty in the UK.
SolarEdge= Solar Inverters
 SolarEdge Product Warranty Program
 The SolarEdge inverter warranty is extendable to 20
or 25 years, depending on inverter model.
 We manage a rapid RMA process and generally ship
a replacement unit within 48 hours, given the reported
defect is eligible for coverage under the Limited
Product Warranty.
 The warranty extension is available with a one-time
payment fee and must be purchased within 24
months of inverter shipment from SolarEdge.
 Inverter warranty extension applies to the inverter
only and does not apply to any built-in communication
accessories.
Porsche
 The warranty periods begin on the day of delivery to the
customer. The following periods apply:
o 4 year / 50,000 mls (80,000 km) warranty for all new
vehicles whichever occurs first*;
o 2-year warranty for genuine Porsche parts, exchange parts
and accessories, which are used or sold outside of
warranty work. The warranty period for Porsche parts
which are used in connection with warranty work ends
contemporaneously with the warranty period for the
purchased item which has become defective;
o 12-year long-life warranty against rust holes in the
bodyshell. (please refer to the conditions in the Warranty
and Maintenance handbook)
o Certified Pre-Owned Warranty is 2 years / 100,000 mls
(160,000 km), once the vehicle is outside the original
vehicle warranty period.
o Warranty can be claimed from any Porsche partner across
the world.
Porsche Approved Warranty
 The Porsche Approved Warranty is an insurance
product which provides comprehensive cover
comparable with the Porsche New Car Guarantee.
 The Porsche Approved Warranty can be
purchased from any Porsche Centre for any
Porsche that meets the eligibility criteria; to extend
an existing Porsche Approved Warranty or the
Porsche New Car Guarantee.
Warranty Extension Conditions
 Porsche warranty extension is available on qualifying Porsche
vehicles aged between one and nine and with a total mileage of
less than 200,000 kms.
 The warranty can be extended annually via your official Porsche
Service Centre prior to the policy expiring, following a technical
inspection.
 If your vehicle's policy has expired, provided the ownership of the
vehicle has not changed, the policy can also be extended once
the vehicle has passed the multi-check inspection examination
and any faults detected repaired using genuine Porsche parts.
 All service tasks must be performed and documented as
specified in the Warranty Guarantee and Maintenance booklet.
Warranty Conditions
 The vehicle must continue to be maintained as described in
the Warranty and Maintenance booklet.
 The vehicle must not have been subjected to undue strains
or used for purposes other than those for which it was
intended.
 The Porsche warranty is not available to be purchased by
licensed motor vehicle dealers for any vehicle that will be
sold in their business.
 Warranty defects must be presented immediately to an
official Porsche Centre.
 The vehicle must be no more than nine years old and less
than 200,000 km, with full service history and without
modifications.
Conditions and warranty
 It can be availed for maximum 2 years, within 30
days from the date purchase of product .
 Plan can not be applicable if the difference
between manufacturing date of product & product
purchase date more than 9 months .
Implied Warranties of Godrej
 It created by state law , all states have them .
 The most common type of implied warranty—a
"warranty of merchantability," means that the seller
promises that the product will do what it is supposed
to do. For example, a car will run and a toaster will
toast
 type of implied warranty is the "warranty of fitness
for a particular purpose." This applies when you buy
a product on the seller's advice that Another is
suitable for a particular use.
 For example, a person who suggests that you buy a
certain sleeping bag for zero-degree weather
Continued…
 If your purchase does not come with a written
warranty, it is still covered by implied warranties
unless the product is marked "as is," or the seller
otherwise indicates in writing that no warranty is
given. Several states, including Kansas, Maine,
Maryland, Massachusetts, Mississippi, Vermont,
West Virginia, and the District of Columbia, do not
permit "as is" sales.
Condition & Warranties on consumer durables

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Condition & Warranties on consumer durables

  • 1. 1
  • 3. What is a condition  According to section 12(2) a condition is a stipulation essential to the main purpose of the contract , the breach of which give rise to right to treat the contract as repudiated .
  • 4. What is a warranty  According to section 12(3) a warranty is a stipulation collateral to the main purpose of the contract the breach of which rise to a claim for damages but not to a right to reject the goods and treat the contract as repudiated.
  • 5. Difference between condition and warranty Basis of distinction Condition Warranty Value A condition is a stipulation which is essential to the main purpose of the contract A warranty is a stipulation which is collateral to the main purpose of the contract Rights The aggrieved party can repudiate the contract of sale in case there is a breach of a condition The aggrieved party can claim damages only in case of breach of a warranty Treatment A breach of condition may be treated as breach of warranty A breach of a warranty can not be treated as breach of a condition
  • 6. Consumer Durable Goods  Consumer durables are a category of consumer products that do not have to be purchased frequently because they are made to last for an extended period of time (typically more than three years). They are also called durable goods. Examples  Scooter  Cars  Sports equipments  Mobile phones  Home appliances  Electronics  Furniture
  • 7. Lenovo Standard Terms and Conditions of Sale  All the payment should be made by a/c payee cheque or DD in favors of lenovo computers  In case any cheque is dishonored a service charge of Rs1000 + service tax will be charged  Statutory forms , if applicable , must be issued in advance or else tax be charged  Late payment fee of 2% per month will be charged in case of delay in payment on the outstanding invoicing value
  • 8. Warranty of lenovo laptop  The product warranty is for only 2 years  Battery and charge warranty is only for 1 year  Damage of screen is not comes under the warranty  If any part is damaged then it will be replaced  No charges will be bear by the customer at the warranty period .
  • 9. Microwave terms and condition (L.G)  Goods once sold not be taken back or exchanged  Any taxes either existing or that may be imposed or assessed in future on this shall be paid by the buyer  The amount of the invoice is payable as stipulated time  For any delay in payment interest @24%p.a will be charged from invoice date until the amount of invoice is paid .  All warranties & service obligations are manufacture liability & responsibility .
  • 10. Warranty of L.G microwave  The warranty of micro wave is for 2 years  The 2 year limited warranty covers any defect in materials or workmanship and states that Sharp is obligated to cover all costs of repairs or provide a replacement product  10 year warranty is applicable on Charcoal Heater part only & is applicable only on Microwaves Ovens with Charcoal Lighting Heater  There is no guarantee / Warranty or replacement on Start- up Kit.
  • 11. CONDITION OF Hero Maestro  In addition to the cost of Product, buyer has to bear the registration fee and all other applicable taxes.  The registration will be in compliance with the applicable laws of land and eligibility as per the applicable regulatory authorities and will be delivered and registered in India.  Any additional purchases, such as accessories, will be paid for in full by the buyer to the selected dealership at price prevailing at the time of purchase  It is being clarified that the buyer will select and choose a dealership for pickup of product
  • 12. Warranty of Maestro  Scooter is warranted for a period of 5 years or 50000km which ever is earlier from the date of purchase  Scooter battery is warranty for a period of 18 months  If any defect is observed in the scooter the company only obligation is to repair or replace that part .
  • 13. Conditions of Apple computer Promotion restrictions Gift card quantity limits Qualifying location Fulfillment Procedure related to product return & exchange General terms
  • 14. Warranties In-house warranty work On-site warranty service Non apple branded/ third party products Warranty by explorer technology
  • 15. Philips Standard Terms and Conditions of Sale  1. Price; Taxes. The purchase price stated in the quotation does not include applicable sales, excise, use, or other taxes in effect or later levied.  2. Payment Terms : Credit Card. Philips, at its discretion, will accept a credit card for payment on orders with a net value of Rs 50,000 or less.  3. Trade - In. If Customer will be trading-in any equipment ("Trade-In"), then: Customer represents and warrants that Customer has good and marketable title to such Trade-In; Title to the Trade-In shall pass from Customer to Philips upon Philips making the new equipment available to Customer for first patient use. Removal of the Trade-In from Customer's site shall occur no later than the date Philips makes the new product available for first patient use, unless otherwise agreed in writing between Philips and the Customer
  • 16. Warranty of music system  1 Year from the date of invoice  Warranty will be applicable for the products purchased from companies authorized dealers .  This warranty is non transferable  Repairs will be carried out through the company.  The warranty does not cover any accessories external to the system
  • 17. Condition and warranty of Sony TV  Goods once sold will not be taken back or exchanged  Price prevailing at the time of delivery will be applicable  Delivery as per availability of stock Warranty 2 year warranty of the product sold Only parts and service are to be covered under this Labor cost are also excluded in warranty period
  • 19. Condition…….  No order shall be deemed to be accepted by Bentley unless and until it is confirmed email or in writing by Bentley.  Bentley reserve the right to reject any order  Any advice or recommendation given to customer by Betnley , or any employee or agent, is followed or acted upon customer risk; and Bentley shall not be liable for such advice or recommendation.  The representation of colors on may vary from the actual colors.  All goods are subject to availability and continuous development.  Their specification can changed may differ those outlined on website or any publication. Bentley reserve
  • 20.  Customer will liable for any import duties and local sale tax that may be levied in country of delivery .  In addition to the price of goods, a packaging and delivery charges will be payable.  Bentley will not be responsible for returned goods that are lost or damaged in transit.
  • 21. warranty  Each new Bentley motor car and each replacement part or assembly manufactured or supplied by it, is warranted by Bentley Motors Limited (‘The Company’) to be free from defects in material or workmanship under normal use and service.  The Warranty period for a new car is three years, with no mileage limitation and commences on the date of delivery to the first owner.  Warranty territorial provision is based geographically on the regional coverage distribution of our Global Dealer Network.
  • 22.
  • 23.  Free 5 Year Warranty on Selected Laundry Products  All laundry products sold by LG Electronics UK Ltd. come with a free 2 year warranty as standard which covers parts and labour.  From time to time and on limited laundry product products we extend the standard warranty period by a further 3 years and offer a free 5 year promotional warranty in the UK.
  • 24. SolarEdge= Solar Inverters  SolarEdge Product Warranty Program  The SolarEdge inverter warranty is extendable to 20 or 25 years, depending on inverter model.  We manage a rapid RMA process and generally ship a replacement unit within 48 hours, given the reported defect is eligible for coverage under the Limited Product Warranty.  The warranty extension is available with a one-time payment fee and must be purchased within 24 months of inverter shipment from SolarEdge.  Inverter warranty extension applies to the inverter only and does not apply to any built-in communication accessories.
  • 25. Porsche  The warranty periods begin on the day of delivery to the customer. The following periods apply: o 4 year / 50,000 mls (80,000 km) warranty for all new vehicles whichever occurs first*; o 2-year warranty for genuine Porsche parts, exchange parts and accessories, which are used or sold outside of warranty work. The warranty period for Porsche parts which are used in connection with warranty work ends contemporaneously with the warranty period for the purchased item which has become defective; o 12-year long-life warranty against rust holes in the bodyshell. (please refer to the conditions in the Warranty and Maintenance handbook) o Certified Pre-Owned Warranty is 2 years / 100,000 mls (160,000 km), once the vehicle is outside the original vehicle warranty period. o Warranty can be claimed from any Porsche partner across the world.
  • 26. Porsche Approved Warranty  The Porsche Approved Warranty is an insurance product which provides comprehensive cover comparable with the Porsche New Car Guarantee.  The Porsche Approved Warranty can be purchased from any Porsche Centre for any Porsche that meets the eligibility criteria; to extend an existing Porsche Approved Warranty or the Porsche New Car Guarantee.
  • 27. Warranty Extension Conditions  Porsche warranty extension is available on qualifying Porsche vehicles aged between one and nine and with a total mileage of less than 200,000 kms.  The warranty can be extended annually via your official Porsche Service Centre prior to the policy expiring, following a technical inspection.  If your vehicle's policy has expired, provided the ownership of the vehicle has not changed, the policy can also be extended once the vehicle has passed the multi-check inspection examination and any faults detected repaired using genuine Porsche parts.  All service tasks must be performed and documented as specified in the Warranty Guarantee and Maintenance booklet.
  • 28. Warranty Conditions  The vehicle must continue to be maintained as described in the Warranty and Maintenance booklet.  The vehicle must not have been subjected to undue strains or used for purposes other than those for which it was intended.  The Porsche warranty is not available to be purchased by licensed motor vehicle dealers for any vehicle that will be sold in their business.  Warranty defects must be presented immediately to an official Porsche Centre.  The vehicle must be no more than nine years old and less than 200,000 km, with full service history and without modifications.
  • 29. Conditions and warranty  It can be availed for maximum 2 years, within 30 days from the date purchase of product .  Plan can not be applicable if the difference between manufacturing date of product & product purchase date more than 9 months .
  • 30. Implied Warranties of Godrej  It created by state law , all states have them .  The most common type of implied warranty—a "warranty of merchantability," means that the seller promises that the product will do what it is supposed to do. For example, a car will run and a toaster will toast  type of implied warranty is the "warranty of fitness for a particular purpose." This applies when you buy a product on the seller's advice that Another is suitable for a particular use.  For example, a person who suggests that you buy a certain sleeping bag for zero-degree weather
  • 31. Continued…  If your purchase does not come with a written warranty, it is still covered by implied warranties unless the product is marked "as is," or the seller otherwise indicates in writing that no warranty is given. Several states, including Kansas, Maine, Maryland, Massachusetts, Mississippi, Vermont, West Virginia, and the District of Columbia, do not permit "as is" sales.