Express Terms

• Express terms are terms in a contract which are explicitly stated (usually in writing) and incorporated into an agreement.
• There are different types of terms incorporated into a contract and some are more important than others. The remedy available for breach of contract depends on the type of term breached.
• Conditions are integral contractual terms that go to the root of the contract and are fundamental in carrying out the purpose of the contract fully. Breach of a condition gives the injured party the right to bring the contract to end (repudiation) as in Poussard v Spiers and Lombard North Central v Butterworth.
• Warranties are minor terms of the contract and are normally descriptive. They are less significant than a condition. Breach of a warranty does not allow the injured party to end or repudiate the contract but they can claim damages to compensate them for any loss, as in Bettini v Gye.
• An innominate term can either be a condition or warranty but the courts will decide this, depending on the impact on the contract following a breach, Hong Kong v Fir Shipping. If breach leads to major losses and it's serious then it will be treated as a condition. If losses are small and trivial it will be treated as a warranty.