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were known to the parties. The seller shall not be held responsible of
nonmaterial defects unless it specifically warrants that such defi-
ciencies are not present or certain qualities are present. Nevertheless, if
the seller warrants the existence of a certain quality, the seller may not
claim that such defect does not materially decrease the value of the
good and shall be held responsible of this nonmaterial defect.
• The defect on the good must be hidden.
Pursuant to article 197 of the Code of Obligations numbered 818
(the “CO”), the buyer shall be presumed to have accepted any defect
present on the sold good if it is aware of such defect and nevertheless
has purchased the good. The defect shall be classified as detected at
first glance if it may be discovered without conducting an examination,
and as evident if it may be detected through conducting an examina-
tion. If the buyer has bought the good without previously conducting
an examination, the seller shall not be held responsible for defects on
the good that may be detected at first glance. Yet, if the buyer has con-
ducted an examination prior to the purchase of the sold good, the sell-
er shall further not be responsible from evident (unhidden) defects
which could have been detected had the buyer shown necessary and
ordinary attention. However, in such a situation, if the seller expressly
provides a warranty that such evident defect is not present, its respon-
sibility from warranty against such defect shall endure.
Defects, which may not be detected despite a thorough examina-
tion, are hidden defects. The seller shall be held responsible of such
defects which are not revealed even through examination, regardless of
such defect being warranted or not.
• The deficiency shall be present on the good prior to the transfer
of the liability of losses to the buyer.
The seller shall not be held responsible from defects which arise
after the liability of loss on the goods is transferred to the buyer and
which do not relate to previously present conditions
1
. This rule shall
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1
Pursuant to the CO, unless stipulated otherwise, the liability of loss shall be transferred to the
buyer as of the execution of the sale and purchase agreement. The Code of Obligations num-
bered 6098 which will come into force on July 1, 2012 has amended this rule. Liability of loss
of movable goods shall belong to the seller until its delivery, and the responsibility of immov-
able goods shall belong to the seller until the registration of the purchase.