Unfortunately, because of the high costs of legal actions in the UK, we only assist in disputes which are valued at over £250,000, at the absolute minimum. We would like to be able to help on other claims, but we just don’t have access to any products that can assist on smaller matters at this time.

For smaller claims please check out the Citizens Advice website here or contact your local trading standards by clicking here.

What is a breach of warranty?

A breach of warranty occurs when a product or service fails to meet the standards or promises made by the manufacturer or service provider. Warranties can be express or implied, and they are intended to provide consumers with assurance that the product or service they are purchasing will meet certain expectations or specifications.

If a product or service fails to meet the standards promised by the warranty, the consumer may be able to bring a claim for breach of warranty. To establish a breach of warranty claim against the seller, the consumer typically must show that there was a warranty in place, that the product or service did not meet the standards promised by the warranty, and that the consumer suffered damages as a result of the breach.

The available remedies for a breach of warranty claim may include repair or replacement of the defective product, reimbursement of the purchase price of the product, or in some cases, compensation for any additional damages suffered as a result of the breach. This measure of damages will aim to put the claimant in the position they would have been in if the warranty had been true.

Due Diligence

Warranty and indemnity are particularly important in a sale and purchase agreement (SPA), as they allocate risk and liability between the buyer and the seller. Share purchase agreements and asset purchase agreements place the burden of responsibility on the buyer with the principle of ‘caveat emptor’ or ‘let the buyer beware’. Hence, before entering the transaction, the buyer should undertake due diligence on the target company to gather as much information as possible.

The buyer can obtain information from the seller by requesting warranties. If the seller provides insufficient information, they may be liable for breach of warranty. To prevent this, sellers can provide adequate disclosures through a disclosure letter.

What is the breach of warranty claims process?

The breach of warranty claims process can vary depending on the type of warranty involved and the specific circumstances of the case. However, there are some general steps that are involved in pursuing a breach of warranty claim: 

• Identify the breach: The first step is to identify the breach of warranty. This may involve reviewing the warranty document or other relevant materials to determine what promises were made by the manufacturer or service provider and whether those promises were met.
• Notify the manufacturer or service provider: Once the breach has been identified, the consumer should notify the manufacturer or service provider of the problem and request a remedy. This may involve contacting the company directly or following the procedures outlined in the warranty document.
• Document the problem: It is important to document the price paid for the product or service, keeping records of any conversations or correspondence with the manufacturer or service provider, and gathering any other relevant evidence. This evidence can also be useful when claiming damages.
• Consider legal action: If the manufacturer or service provider is unwilling or unable to provide a satisfactory remedy, the consumer may need to consider legal action. This may involve filing a claim in court or pursuing alternative dispute resolution methods such as mediation or arbitration.
• Seek legal advice: Breach of warranty claims can be complex, and it is often advisable to seek legal advice from a solicitor who specialises in consumer protection law. A solicitor can provide guidance on the strength of the case, the available remedies, and the best course of action to pursue. 

Overall, the breach of warranty claims process can be time-consuming and challenging, but it is important for consumers to assert their rights and seek remedies when they have been harmed by a defective product or service.

Funding a breach of warranty claim

Regardless of the nature of the breach of warranty, it is essential that you seek specialist advice from a breach of warranty solicitor. There are various costs involved in bringing or defending a breach of warranty claim. Some of the main costs include solicitor fees, expert witness fees, alternative dispute resolution costs, such as mediator fees, and court fees in cases where court proceedings are issued.

Annecto Legal is experienced in helping individuals and businesses in bringing successful claims against other parties by using a combination of legal expertise and appropriate litigation funding arrangements and insurance in order to present the strongest possible case to the opponent.

How can Annecto Legal assist?

Annecto Legal helps clients realise the value of their breach of warranty claims. We work closely with litigation funders, insurers and breach of warranty solicitors that seek alternatives to the traditional hourly rate funding model.

Contact Annecto Legal now to discuss your claim, be put in touch with specialist breach of contract solicitors or to get information about managing the financial risks of litigation.

Unfortunately, because of the high costs of legal actions in the UK, we only assist in disputes which are valued at over £250,000, at the absolute minimum. We would like to be able to help on other claims, but we just don’t have access to any products that can assist on smaller matters.

If you believe your case would be of interest, please do share details of the problem and we can arrange a call. With access to over 60 providers of litigation funding and after-the-event (ATE) commercial legal expenses insurance, Annecto Legal is best placed to source the most appropriate funding package for your case to maximise your chances of success.