Indeed, a warranty if not strictly complied with will automatically discharge the insurer from further liability under the contract of insurance.

In addition, more as an added insurance than anything else, many se llers also include a general exclusion clause which limits total liability under the contract by reference to a monetary figure.

An example of an exclusion clause is where a supplier totally excludes his liability under the contract for late delivery if this is caused by circumstances beyond his control such as industrial action.

By contrast, a warranty of a fact or state of affairs in an insurance contract, once breached, discharges the insurer from liability under the contract from the moment of breach; while breach of a mere condition gives rise to a claim in damages alone.

Section 7(3A) of the UCTA gives rise to the same issues as s 6(1) of the SGA, in relation to infringement of third party intellectual property rights, clauses excluding all implied warranties, and clauses limiting liability under the contract as a whole.