Caveat emptor: Meaning, Explanation, Examples & Case Laws

Literal meaning	Let the buyer beware
Pronunciation	KAV-ee-at EMP-tor

A buyer must take care when buying. If the buyer does not check the goods, the seller is not responsible for defects that could have been found by inspection.

Example

A buyer picks a second-hand bicycle in a market after looking at it, and later complains of a scratch he could see. He cannot return it.

Case laws

Ward v. Hobbs (1878), House of Lords: pigs were sold at a market with no promise as to their health, and they had a disease. Held: the buyer bore the risk.

Statutory link

Section 16 of the Sale of Goods Act, 1930: there is no implied condition as to quality or fitness, except in the cases the section lists.

Exceptions / limits

Where goods are bought by description, they must match it.
Where the buyer relies on the seller's skill for a particular purpose, the goods must be fit for it.
Goods sold by sample or by description must be of merchantable quality.

Exam tip

Always state the exceptions under Section 16.

Memory trick

Buyer, be your own inspector.

Key takeaway

The buyer must beware, except where the law protects them.