UGC NET COMMERCE June 2019 Q35
0. ‘Doctrine of Caveat Emptor’ means:
- Option : B
- Explanation : In case of sale of goods, the doctrine ‘caveat emptor’ means ‘let the buyer beware’. When sellers display their goods in the open market, it is for the buyers to make a proper selection of the goods. If the goods turn out to be defective, the buyer cannot hold the seller liable. The seller is in no way responsible for the bad selection of the buyer. The seller is not bound to disclose the defects in the goods which he is selling. It is the duty of the buyer to satisfy himself before buying the goods that the goods will serve the purpose for which they are being bought. If the goods turn out to be defective or do not serve his (buyer) purpose or if he depends on his own skill or judgement, the buyer cannot hold the seller responsible. It is contained in Section 16 of the Sale of Goods Acts, 1930 which reads as under: “Subject to the provisions of this Act and any other law for the time being in force, there is no implied warranty on condition as to the quality or fitness for any particular purpose of goods supplied under a contract of sale.”
Birds’s Eye View: Doctrine of caveat emptor [Section 16(1)]
∎ Caveat emptor is a Latin word which means ‘let the buyer beware’.
∎ The buyer must take care of his own purpose while purchasing the goods.
∎ If the buyer makes a wrong choice of goods, he cannot make the seller responsible and ask compensation.
∎ Exceptions to the rule ‘caveat emptor’ are:
– Fitness for buyer’s purpose.
– Sale under patent or trade name.
– Merchantable quality. – Usage of trade.
– Misrepresentation or fraud.
– Goods by sample.
– Goods by sample as well as description.
– Goods by quality or fitness.
