ABC Ltd has contracted with DEF Ltd. If ABC Ltd acts in breach of a warranty, which of the following is correct?

ABC Ltd has contracted with DEF Ltd. If ABC Ltd acts in breach of a warranty, which of the following is correct?

(i) DEF Ltd may terminate the contract and sue for damages.

(ii) DEF Ltd may sue for damages but may not terminate the contract.

(iii) DEF Ltd may ignore the breach and continue with the contract.
A . (i) only
B . (i) and (iii) only
C . (ii) and (iii) only
D . (i), (ii) and (iii)

View Answer

Answer: C