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    Caveat Emptor or Caveat Venditor

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    Himanshi Saraiya
    The document discusses the doctrines of caveat emptor ("let the buyer beware") and caveat venditor ("let the seller beware"). Originally, caveat emptor placed the burden on buyers to inspect goods for quality and fitness, but there has been a shift toward caveat venditor as concepts like fitness and merchantability place more responsibility on sellers. India's new Consumer Protection Act of 2019 further supports caveat venditor by expanding the scope of complaints consumers can file and requiring sellers to make proper disclosures. While the new law provides protections for consumers, a balance of both doctrines is important for smooth transactions.

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    Caveat Emptor or Caveat Venditor

    Uploaded by

    Himanshi Saraiya
    66 views3 pages
    The document discusses the doctrines of caveat emptor ("let the buyer beware") and caveat venditor ("let the seller beware"). Originally, caveat emptor placed the burden on buyers to inspect goods for quality and fitness, but there has been a shift toward caveat venditor as concepts like fitness and merchantability place more responsibility on sellers. India's new Consumer Protection Act of 2019 further supports caveat venditor by expanding the scope of complaints consumers can file and requiring sellers to make proper disclosures. While the new law provides protections for consumers, a balance of both doctrines is important for smooth transactions.

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    The document discusses the doctrines of caveat emptor ("let the buyer beware") and caveat venditor ("let the seller beware"). Originally, caveat emptor placed the burden on buyers to inspect goods for quality and fitness, but there has been a shift toward caveat venditor as concepts like fitness and merchantability place more responsibility on sellers. India's new Consumer Protection Act of 2019 further supports caveat venditor by expanding the scope of complaints consumers can file and requiring sellers to make proper disclosures. While the new law provides protections for consumers, a balance of both doctrines is important for smooth transactions.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    66 views3 pages

    Caveat Emptor or Caveat Venditor

    Uploaded by

    Himanshi Saraiya
    The document discusses the doctrines of caveat emptor ("let the buyer beware") and caveat venditor ("let the seller beware"). Originally, caveat emptor placed the burden on buyers to inspect goods for quality and fitness, but there has been a shift toward caveat venditor as concepts like fitness and merchantability place more responsibility on sellers. India's new Consumer Protection Act of 2019 further supports caveat venditor by expanding the scope of complaints consumers can file and requiring sellers to make proper disclosures. While the new law provides protections for consumers, a balance of both doctrines is important for smooth transactions.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3

    Caveat Emptor or Caveat Venditor?

    In simple words Caveat Emptor means “let the buyer beware”.


    Emptor in Latin is the buyer and the verb cavere is a verb of
    caution: caveat emptor was the perfect principle for
    transactions involving not massive quantity of goods. In
    commercial transaction it is the duty of every buyer to be
    careful while buying goods of his or her requirements and also
    the seller is under an obligation to allow the buyer to examine
    the goods prior to entering into contract.
    The principle of Caveat emptor is explained in Section 16 of
    the Sale of Goods Act 1930 which states that the buyer should
    inspect the goods to his best knowledge as there is no implied
    condition or warranty as to quality or fitness for any particular
    purpose of goods supplied.
    When the rule of caveat emptor originated, it was quite rigid
    and there was no scope for any subsequent change in the rule.
    Concepts like ‘fitness of goods’ and ‘merchantability’, which
    could be used to shift the burden as to quality and fitness on
    the seller, were not encouraged The seller had absolutely no
    responsibility and hence there was a gradual shift towards the
    Doctrine of Caveat venditor which means “Let the seller
    beware”.
    Whenever the seller is about to sell any goods to the buyer
    then the seller must be aware about the buyer in respect of to
    the usage of the goods the address of the buyer the name,
    occupation etc. In the case of Rekha Sahu v UCO Bank and
    others it was held that when the rule of caveat emptor (buyer
    beware) prevails, it is for the purchaser to either verify the title
    before purchasing the property or invite complication through
    litigation. However, now the rule of caveat emptor is replaced
    by caveat venditor (seller beware) and when the Bank/Financial
    Institution put the property on sale, they must show clear title to
    the said property.
    This also put an obligation on the seller to make proper
    disclosures to the best of his knowledge. There must be no
    misrepresentations on the usability or purpose of the product
    sold. The defects, if any, should be disclosed. Therefore, the
    seller’s duty to make the buyer aware of all the defects in the
    goods being sold and all the information relating to the usage of
    the goods. This obligation of the seller should be irrespective of
    his own knowledge and skill, because what matters is not what
    he has but what he is expected to have.

    In India, the new Consumer Protection Act was passed by the


    parliament in 2019 and it came into effect recently on 20th July
    2020. The Act has replaced the 1986 Act which was obsolete
    with regards to the modern consumer problems. This Act is in
    favour of the Doctrine of Caveat Venditor and ensures the
    empowerment of consumers by means such as expanding the
    scope of grievances eligible for redressal- consumers can
    complain and be compensated not just for defective goods and
    deficient services but also for unfair contract terms, spurious
    goods as well as false and misleading advertises. The act also
    provides for filing of complaints electronically.

    Conclusion:
    With the boom in e-commerce industry and capitalism, it is a
    given that there will be exploitation of consumers. This Act
    provides a security blanket to consumers, however a balance of
    both the doctrines should be maintained for a smooth flow of
    transactions. Consumers must research about the products
    being used, the companies which manufacture them, etc. At the
    same time it is the obligation of sellers and vendors to be as
    transparent as possible about the goods sold and services they
    provide.

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