The Japanese Civil Code contains certain provisions that establish what is known as the “seller’s warranty.” The seller’s warranty demands that the seller fix any problems relating to lack of good title, a discrepancy in quantity, or where there is a latent defect in the product. If any of these situations arise the seller’s warranty requires that seller fix these problems.
The giving of gifts is also considered a type of contract in Japan. Since these contracts involve one party donating a gift to the other party for nothing in return, Japanese law allows oral gift promises to be cancelled before completion. However, any part of the gift that has already been completed cannot be withdrawn.
Japanese contracts, by default, will include a seller’s warranty. This warranty covers a variety of situations that might arise, such as a third party claiming ownership or a latent defect in the goods.
Occasionally there are situations where a seller refuses to hand over the purchased product even after the buyer has paid for it. In these cases, once the buyer has proved that the seller breached the contract, the buyer may have the option to enforce the seller’s performance of the contract. This is called “specific performance” of a contract and can be awarded as a remedy instead of money damages in certain cases.