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Question - CONDITIONS AND WARRANTIES
In 2014, Seller executed in favor of Buyer a contract to sell a lot. At the time of the execution of the contract, the parties knew that a portion of the lot was occupied by Tenant. It was the understanding of the parties that Tenant would be ejected by Seller from the premises. After the installments were paid, the deed of sale was executed. In 2020, S filed a complaint for ejectment against Tenant, but the court ruled against Seller, owing to a compromise agreement in another case between Seller and X.
Buyer filed an action against Seller to enforce the vendor's warranty against eviction or recover the value of the land. It appears that the compromise agreement with X was sanctioned by the court and the prior right of Tenant to purchase the lot in question was based more on his prior occupancy of the same since 2011 about which Buyer was informed by Seller. The execution of the compromise agreement merely recognized this prior right of Tenant.
Is B entitled to the vendor's warranty against eviction and damages and what is the obligation of Seller to Buyer? Elaborate your answer and use supporting articles to defend answer.
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