Toyin Omoniyi In doing business, both the buyer and the seller negotiate and go through ups and downs before coming to a conclusion. There are some important terms that the seller and the buyer should know when doing business such as.
MERE PUFF
When trying to sell a product, a seller may use different eulogies and praises to advertise and commend his products to potential buyers. This is called mere puff; the seller has no intention of creating any legal relations when using these eulogies.
In most cases, mere puffs are deliberate and exaggerated statements which are not expected to be taken seriously and that no reasonable person can take as a factual statement.
A seller who uses mere puff cannot be liable because they are not positive statements of facts. They are just wild, unrealistic statements that do not have any legal effect. An example is an advert that reads. “'This toothpaste will make your teeth whiter than white”. Or “Red Bull gives you wings”. These are mere puff; the seller cannot be sued for breach of contract if you use the toothpaste and your teeth aren't whiter than snow or if you realize that you still can't fly after drinking Red Bull.
If a person says, “I will have sex with the first person who helps out with my house rent”, that is not a mere puff although it is not a valid contract because it is contract for sexual services.
REPRESENTATION
This is a statement made at or before creating a contract but it does not form part of the contract. To be sure that a statement is a representation, it must be shown that the person making the statement is not very knowledgeable about the subject matter of the contract. But if the person has special knowledge/skills about the subject matter, that statement will form part of the contract.
For example, if a car seller displays a car with an odometer of 10,000 miles, it will be regarded as a representation to a prospective buyer that the car has only been driven for 10,000 miles. Also, if a property seller assures a prospective buyer that the roof of the house to be sold does not leak, he is giving a statement of fact to get the person buy the property.
WARRANTY
This moves from the present to the future. The seller warrants that the product being sold is free of all defects and faults and also agrees to fix any fault that happens within a specified time in the future.
A warranty is like an undertaking from the seller that all the facts mentioned about the product are true and the buyer is protected in the case of any defect. So for example, if you buy a phone with a 5-year warranty, it means anytime the phone malfunctions or has any default within the 5 years, the seller is obligated to repair it.
FUNDAMENTAL TERM
This goes to the root of the contract and if it is breached, the whole contract will be affected. So if there is a contract to sell a skirt and the seller supplies a blouse instead, it is fundamental to the contract and will automatically end the contract.
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