warranties

warranties
A person providing funds to buy a company to invest in or lend to a company will want to substantiate matters affecting its value. The person receiving value will be asked to warrant that statements relating to these matters are true - for example, that the company is not involved in litigation. If the statement proves incorrect or misleading, the person providing the funds can recover his loss from the person making the incorrect statement and may try to avoid the commitment altogether. Warranties are usually qualified by disclosure of anything inconsistent with the statement.

Easyform Glossary of Law Terms. — UK law terms.

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  • Warranties — Warranty War rant*y, n.; pl. {Warranties}. [OF. warantie, F. garantie. See {Warrant}, n., and cf. {Guaranty}.] [1913 Webster] 1. (Anc. Law) A covenant real, whereby the grantor of an estate of freehold and his heirs were bound to warrant and… …   The Collaborative International Dictionary of English

  • warranties — war·ran·ty || wÉ”rÉ™ntɪ , wÉ‘ / wÉ’r n. guarantee, certificate indicating responsibility; authority; justification …   English contemporary dictionary

  • Warranties and indemnities —   A counter guarantee provided by a bank that a customer will pay compensation if goods or services (including financial contracts) provided to a third party do not meet the terms specified in the contract, e.g. performance bonds. Also, any… …   International financial encyclopaedia

  • Industry Loss Warranties — Industry Loss Warranties, often referred to as ILWs, are a type of reinsurance or derivative contract through which one party will purchase protection based on the total loss arising from an event to the entire insurance industry rather than… …   Wikipedia

  • representations and warranties — USA 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… …   Law dictionary

  • express warranties — In addition to implied warranties, a supplier normally gives express warranties relating to the goods or services supplied in the contract between buyer and seller. They may relate to the quality of the goods, conformity with specifications, etc …   Law dictionary

  • corporate warranties — A person providing funds to buy a company to invest in or lend to a company will want to substantiate matters affecting its value. The person receiving value will be asked to warrant that statements relating to these matters are true for example …   Law dictionary

  • Representation and Warranties — (заверения и заявления) часть соглашения, в которой одна или несколько сторон подтверждают определенные фактические обстоятельства; если подтверждение оказывается не соответствующим действительности, такая сторона (стороны) обязуются предпринять… …   Ипотека. Словарь терминов

  • executory warranties — Such arise where insured undertakes to perform some executory stipulation, as that certain acts will be done, or that certain facts will continue to exist …   Black's law dictionary

  • executory warranties — Such arise where insured undertakes to perform some executory stipulation, as that certain acts will be done, or that certain facts will continue to exist …   Black's law dictionary

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