Understanding the Differences
Do you know the difference between an implied warranty and an express warranty?
Warranties are generally divided into two categories:
- Express Warranties
- Implied Warranties.
Express warranties are expressly made by the manufacturer or seller of a product. In most cases, express warranties are set forth in writing, but do not necessarily need to be in order to be deemed an express warranty. Obviously, the 2-10 HBW Contract is an express written warranty.
Implied warranties are warranties that arise from either the sale itself or the circumstances of the sale, and are created by legislation or the courts.
There are two main types of implied warranties:
- Implied warranties of merchantability
- Implied warranties of fitness.
The implied warranty of merchantability states a product will perform the purpose for which it was designed to a reasonable degree. The implied warranty of fitness states a product will reasonably perform a purpose specific to the intentions for which the product was purchased by the consumer.
2-10’s Offered Warranties
Based on the basic definitions above, it is clear why an express warranty is preferred for a product such as the one 2-10 HBW offers. Implied warranty laws can be subject to ambiguous and inconsistent interpretations that can vary not only from state to state, but indeed from court to court. In many cases, the only guidance in determining the scope and protection offered by an implied warranty is prior case law, where the court has determined what is covered rather than the parties to the contract. An express warranty eliminates such ambiguity.
The express written warranty offered by 2-10 HBW disclaims all implied warranties and is acknowledged to be the exclusive warranty by the builder/seller and the buyer. The Construction Performance Guidelines which follow the guidelines set forth by the National Association of Home Builders, taken together with the other provisions contained within the contract, clearly define the responsibilities of the builder/seller and the buyer, and helps set and manage expectations for all the interested parties, including 2-10 HBW.