ChapterTenComplaintsandClaims.ppt

* * Chapter TenComplaints and Claims Complaint may happen under the following circumstances:plaint of difference between goods  delivered and goods ordered, plaint of inferior quality orplaint of missing or shortage from  the delivery, orplaint of delay, orplaint of bad packing breach of a contractThere are two kinds of undertakings entered into in every contract.* condition* warranty A condition is a term to which the parties ,when making the contract , attribute such importance that it can truly be described as being of the essence of the contract. It goes to the root of the contract. To break a condition is to break the contract and leads to an action for breach of contract (fundamental breach of the contract). Thus if a bridge is to be made of steel , and in fact it is made of iron, or some less satisfactory material than steel, this would be a breach of a condition of the contract. If I wanted a crimson深红色的car and it proved to be maroon栗色的in colour this might, or might not , amount to such a serious difference that it amounted to a breach of the whole contract. The less important type of undertaking called a warranty.A warranty does not go to the root of the contract, so I cannot claim breach of contract, but it does entitle me to compensation for breach of warranty. It is almost a truism to state that *arbitration is better than litigation, *conciliation better than arbitration, *and prevention of legal disputes better than conciliation. Arbitration:Upon mutual agreement between the two parties concerned, a dispute may be solved by the impartial decision of a third party. This is called arbitration,which has two characteristics: 1.An agreement must be reached between the two parties on solving the dispute through arbitration.2.The ruling of arbitration is in general final. That is , the arbitrator to whom the two parties have agreed to resort shall make the final award. The interested parties cannot refuse the ruling or appeal to the c