Caveat venditor -Let the seller beware.
Meaning of Caveat Venditor
Caveat Venditor is a Latin maxim that means “Let the seller beware.”
It is the opposite of Caveat Emptor (“Let the buyer beware”). While Caveat Emptor places the responsibility on the buyer to check the quality or condition of the goods before purchase, Caveat Venditor places the onus on the seller to ensure that the goods sold are fit for purpose and of the quality represented.
This principle is especially important in modern commercial law, consumer protection law, and e-commerce.
Key Features of Caveat Venditor
Responsibility on Seller: The seller must disclose material facts about the product or service.
Implied Warranties: The product should be of merchantable quality and suitable for its intended purpose.
Consumer Protection: Protects buyers from defective, unsafe, or misrepresented goods.
Modern Relevance: With strict consumer laws, sellers are increasingly held liable for misrepresentation or defective goods.
Illustration
If a company sells electronic goods claiming them to be new but they are refurbished, the company cannot escape liability. The principle of Caveat Venditor ensures that the seller bears responsibility for the defect or misrepresentation.
Case Law in India
1. Mohori Bibee v. Dharmodas Ghose (1903)
Principle: Although primarily a contract law case, it highlights the responsibility of parties to disclose material facts. Sellers cannot avoid liability by hiding defects or misrepresenting goods.
2. Indian Contract Act, Sections 16 & 17
Contracts induced by misrepresentation or fraud are voidable at the option of the aggrieved party. Caveat Venditor supports this principle: the seller must not misrepresent the product.
3. Consumer Protection Act, 2019
Under Sections 2(7) and 2(17), any deficiency in goods or services makes the seller/service provider liable. Courts actively protect buyers, following the principle of Caveat Venditor.
Key Points
Shift from Caveat Emptor: In the modern context, consumer laws and e-commerce platforms have shifted the burden from buyers to sellers.
Seller’s Due Diligence: Sellers must ensure goods are genuine, safe, and match their description.
Legal Remedy: Buyers can claim damages, replacement, or refund if goods are defective or misrepresented.
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