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The Benefits of Collateral Warranties in Commercial Developments

November 2008 - Corporate & Commercial. Legal Developments by Dillon Eustace.

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A collateral warranty, in the context of a commercial development, stands alongside a principal agreement, usually a contract and/or a letter of appointment. The need for collateral warranties arose because, in general, the party that commissions a building and has it erected is not the party that carries the burden if there is a defect in the building.


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