Off-spinner Jeetan Patel led an outstanding bowling performance on a slow pitch, with four wickets on day four taking him to eight for 128 over the course of a match in which the visitors were rolled over for scores of 217 and then 210.
A back-to-form Alex Hales, making 58 from 182 balls, his first half-century since April, threatened to hold off the hosts, but starting with his dismissal the last seven wickets went down for 56 and Warwickshire are now within range of table-toppers Sussex, who were on day two of their clash with Middlesex at Hove.
Sam Robson (166) reached his third century of the season to put the away side in a strong position in that match as they ended the day on 445 for five in response to Sussex's 229, a lead of 216.
Middlesex will be able to call on Steven Finn when they bowl again after he joined up with his county team-mates having been left out of England's side for the second Investec Ashes Test against Australia at Lord's.
Alex Lees wrote his name into Yorkshire history when he became the youngest player to score a double century for the county on day two of their encounter with basement side Derbyshire at Chesterfield.
The 20-year-old left-hander was unbeaten on 275 when skipper Andrew Gale declared, which was the second highest score by a Yorkshire batsman since the Second World War.
Gale and Gary Ballance both scored fifties out of a massive total of 617 for five, and at the close Derbyshire were struggling on 94 for five with Steven Patterson and Jack Brooks each taking two wickets.
In Division Two, Gareth Rees' century helped Glamorgan draw their contest against leaders Lancashire at Old Trafford.
After conceding a first-innings lead of 93, the visitors were in serious trouble at 98 for five in their second innings just before tea on the final day with spinner Simon Kerrigan - who took seven wickets in the first innings - claiming all five on the way to match figures of 12 for 252.
However, Rees and former Lancashire all-rounder Nathan McCullum put on an unbeaten 85-run stand to secure a draw, with Rees finishing on 107 not out as Glamorgan reached 183 for five.
There was also a draw in Canterbury between Kent and Hampshire.
After four days of slow scoring on a docile wicket that led to the loss of only 23 wickets and three centuries, the sides shook hands on a draw at 4.50pm with Hampshire on 200 for four in their second innings - an overall advantage in the match of 92 runs.
Superb bowling from Graham Napier, who took five wickets for 77, and an unbeaten century by Jaik Mickleburgh (121 not out) enabled Essex to enjoy the better of the second day of their match against Leicestershire at Chelmsford, where the hosts finished on 216 for four, in reply to an all out total of 365 by Division Two's bottom side.
Gareth Roderick justified his promotion in Gloucestershire's batting order by scoring 71 as the hosts gained a first innings lead of 144 over Worcestershire on day two of their meeting at Cheltenham.
Starting the day on 83 without loss in reply to 182, Gloucestershire were bowled out for 326, with Chris Dent making 79 and Alex Gidman 62, and by the close Worcestershire had progressed to 31 without loss in their second innings.
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