Final answer:
The difference between a warranty and a condition is that a warranty is a minor guarantee that does not go to the essence of the contract, while a condition is a major guarantee central to the contract. Breaching a condition allows the injured party to terminate the contract and claim damages, whereas breaching a warranty only allows for damages. For instance, a warranty to repair a car contrasts with a condition guaranteeing a car's roadworthiness.
Step-by-step explanation:
In the context of contract law, there are fundamental differences between a warranty and a condition, each with its own consequences when breached. A warranty is a lesser, collateral promise in a contract that is not central to the purpose of the agreement, whereas a condition is a promise that is fundamental to the performance of that contract.
Consequences of breaching a warranty are limited to claiming damages and do not allow the non-breaching party to terminate the contract. However, breaching a condition gives the non-breaching party the right to claim damages as well as an option to terminate the contract altogether. For example, when purchasing a car, a warranty that the seller offers to fix any damages within a certain period is a warranty. On the other hand, if the seller guarantees that the car is roadworthy, this is a condition because if the car is not roadworthy, the core purpose of the contract (to drive the car) is undermined, allowing the buyer to terminate the purchase agreement.