Fundamental Warranties

Core warranties — title, capacity, authority, no encumbrance — that are typically uncapped and survive indefinitely, unlike capped, time-limited business warranties.

Buyer Example

Buyer of a Kochi seafood processing export unit insists that fundamental warranties on clean share title and no existing pledge remain uncapped and survive indefinitely, after diligence reveals a prior investor had taken an undisclosed pledge over 30% of promoter shares.