This section is from the book "The Law Of Contracts", by William Herbert Page. Also available from Amazon: Commercial Contracts: A Practical Guide to Deals, Contracts, Agreements and Promises.
A condition is occasionally to be distinguished from an exception. An exception is frequently used where, instead of stating the subject-matter specifically, the parties stated it in broad and general terms, and then proceeded to limit it by a number of exceptions which thus limit the broad and general terms to the subject-matter upon which the parties have really agreed.1 As a rule, therefore, an exception is used as a mere matter of convenience in order to enable the parties to describe the subject-matter in fuller words than it would be necessary to employ if they attempted to describe the limited subject-matter without the use of the exception. The exception is sometimes confused with the condition because of the fact that the exception is occasionally introduced by the word "if" and the like, so that it reads like a condition in outward form; although in such cases the function of the conditional clause is not to insert a true condition, but to prevent the contract from ever applying to the subject-matter to which it would apply if it were not for such clause, conditional in outward form, but really serving merely to define the subject-matter. While provisions of this sort occasionally amount to conditions,2 and while they are not infrequently so worded as to read like conditions, they are, in many cases, not true conditions, but rather exceptions to the broad terms by which the original liability is imposed in the contract. The same result could be reached by giving a detailed statement of the facts under which liability was to be incurred; but as a means of expressing the same intention in fewer words, provision is often made for general liability with exceptions of this sort. In any case, full effect is given thereto,3 if the provision is not otherwise in violation of the policy of the law.
2 See Sec. 189.
3 See Sec. 2576 et seq.
4 See ch. LXXXIV. 5See Sec. 190 et seq.
6 See Sec. 139 et seq. 7 See Sec. 118.
8 See Sec. 130 et seq.
9 See Sec. 74 et seq.
10 Way v. Greer, 196 Mass. 237, 81 N. E. 1002.
11 Way v. Greer, 196 Mass. 237, 81 N. E. 1002.
12 Way v. G.reen, 196 Mass. 237, 81 N. E. 1002.
1 United States. Burt v. Union Central Life Ins. Co., 187 U. S. 362, 47 L. ed. 216; Northwestern Mutual Life Ins. Co. v. McCue, 223 U. S. 234, 56 L. ed. 419.
California, Lange v. Waters, 150 Cal. 142, 103 Pac 889.