Is a warranty guaranteed to be true?

Is a warranty legally binding?

A warranty is a legally binding commitment forming part of the sales contract which assures the buyer that the product or service is free from defects. … In business and legal transactions, a warranty is an assurance by one party to the other party that certain facts or conditions are true or will happen.

Are warranties statements considered to be true to the best of the applicants belief?

Because of such a strict definition, statements made by applicants for life and health insurance policies are usually not considered warranties, except in cases of fraud. Are statement believe to be true to the best of one’s knowledge, but they are not guaranteed to be true.

Is a representation guaranteed to be true?

A representation is an assertion as to a fact, true on the date the representation is made, that is given to induce another party to enter into a contract or take some other action. A warranty is a promise of indemnity if the assertion is false.

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What is warranty and guarantee?

A warranty is a guarantee of the integrity of a product and of the maker’s responsibility for it. In a sense, guarantee is the more general term and warranty is the more specific (that is, written and legal) term.

Does warranty mean replacement?

A warranty is a written promise by a company that, if you find a fault in something they have sold you within a certain time, they will repair it or replace it free of charge.

Which is better warranty or guarantee?

The guarantee covers product, service, persons and consumer satisfaction while warranty covers products only. The guarantee is free of cost. On the other hand, the customer should have to pay for the warranty to safeguard the interest. A guarantee is comparatively less formal than a warranty.

What is the law on warranty?

An assurance or promise in a contract, the breach of which may give rise to a claim for damages. Although a breach of a warranty may entitle the person taking the benefit of it to a remedy for breach of contract, in finance documents, such a breach also constitutes an event of default. …

What happens if a warranty is breached?

Breach of warranty by misrepresentation may be brought in tort for damages or in contract if the representation was made as an inducement of a contract. Breach of warranty to do or refrain from some action is usually brought as a breach of contract action for damages, rescission or for specific performance.

Which of the following is true about warranties insurance?

All of the following statements are true regarding warranties, EXCEPT: Warranties are statements that are guaranteed to be true and are part of the legal contract. Insurers are held to the principle of warranties, not insureds. … The correct answer is: If a loss occurs, then the insurance company will pay benefits.

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Which is generally true regarding insured who have been classified as preferred risks?

Which is generally true regarding insureds who have been classified as preferred risks? AThey can borrow higher amounts off of their policies.

Which of these is considered a statement that is assured to be true in every respect?

Which of these is considered a statement that is assured to be true in every respect? Warranty.