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More Representations and Warranties

More Representations and Warranties

The distinction between “representations” and “warranties” may be academic, as they both are promises about the truth of certain facts, but generally a representation is a promise about the present, and a warranty is a promise about the future. For example, a product seller may represent that they are not aware of any defects in a product, but they may warrant that, if defects are found, the seller will repair or replace the product in the future.

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Representations and Warranties

Representations and Warranties

Many contracts have “indemnification” provisions, that state exactly what a defendant needs to do if a representation is false. For example, the provision may state that the defendant is only responsible for a certain amount of damages or that the plaintiff needs to follow a specific procedure before it can bring a lawsuit.

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