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ARTICLE · 29 AUGUST 2025

Can A Warranty Be Better Than An Indemnity?

Teacher Stern LLP
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In Learning Curve (NE) Group Ltd v Lewis [2025] EWHC 1889 (Comm) the High Court found that a buyer's right to bring a claim under an indemnity did not preclude a claim for breach of warranty.

United KingdomLitigation, Mediation & Arbitration
Sing Li
Sing Li

InLearning Curve (NE) Group Ltd v Lewis [2025] EWHC 1889 (Comm)the High Court found that a buyer's right to bring a claim under an indemnity did not preclude a claim for breach of warranty.

In this case, the buyer had received payment under an indemnity but also brought a separate claim for breach of warranty arguing that the underlying issue had a much wider and longer-lasting impact than that permitted under the indemnity claim.

Usually, an indemnity is considered more "buyer-friendly" because it allows the recovery of all loss flowing from the specified liability without having to prove breach, foreseeability or causation. For many, an indemnity will yield a better result as an entitlement to monetary compensation rather than an entitlement to a claim.

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