Question

in a contract of sale party make certain statement which is called as

A)  contract

B)  agreement

C)  promise

D)  stipulation

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Answer 1

In a contract of sale, the party makes a certain statement which is called a stipulation. (Option D)

• A stipulation refers to statements made by the parties to strengthen their position. It can be a condition or a warranty in the contract.
• The conditions discussed have to be fulfilled for the contract to sustain. Any deviation from either party can lead to its termination.
• The warranty is of secondary importance. A party can claim compensation in case of unfulfillment, but cannot repudiate the contract.