I breached a warranty – what should I do next?
So, you have inadvertently breached a warranty. In this case, there are several practical steps that you can take:
- Assess the situation: Understand the specific terms of the warranty that you have breached and the potential impact on the other party. Ascertain your potential exposure by determining the other parties loss/damage arising from the breach.
- Take responsibility: Communicate with the other party and take responsibility for the breach of warranty. Acknowledge the problem and express your willingness to find a solution.
- Offer a remedy: Propose a solution or remedy for the breach of warranty, such as repair, replacement, or refund of the goods or services provided.
- Negotiate: Try to come to an agreement with the other party on the best course of action to resolve the breach of warranty.
- Comply with the agreement: If you and the other party reach an agreement, make sure to fulfill your obligations under the agreement promptly.
- Review your processes: Evaluate your internal processes and procedures to identify the root cause of the breach of warranty and take steps to prevent it from happening again in the future.
If a warranty is breached, then the injured party will be entitled to claim damages from the warranting party.
The injured party has a Common Law obligation to mitigate their loss and failing to do so means that their claim may be reduced to the extent that they failed to mitigate their loss.
Warranties and breaches of warranties can be complicated matters. The team at Arena Law can assist you with any warranty queries you have, so give us a call today.