Like Legal Law

Rule of Caveat Emptor: Meaning, Relevance, and Exceptions 🔹 Meaning The term “Caveat Emptor” is a Latin phrase meaning “Let the buyer beware.” It is a fundamental principle of the Law of Sale of Goods , especially under the Sale of Goods Act, 1930 , which says that the buyer must take care of his own interest while purchasing goods. In simple words, the seller is not responsible for any defect in goods once they are sold, unless he has given a warranty or made a false representation. The buyer must check the quality and suitability of goods before buying them. 📜 Section 16 of the Sale of Goods Act, 1930 embodies this rule and states that: “There is no implied warranty or condition as to the quality or fitness for any particular purpose of goods supplied under a contract of sale.” 🔹 Relevance (Importance of the Rule) The principle of Caveat Emptor is based on the idea that: Buyers have the freedom to choose what they buy. Sellers cannot be held liable for defec...