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The doctrine of Caveat Emptor does not apply:
When the goods are bought by sample
When the goods are bought by sample as well as description
When the goods are purchased under its trade name
All of the above
Exceptions to the Doctrine of Caveat Emptor. The rule of ‘Caveat Emptor’ is, subject to the following exceptions:
1. Implied condition as to quality or fitness : Section16(1) provides ‘that (a) where the buyer, makes known to the seller the purpose for which the goods are required; (b) the buyer relies on skill and judgement of the seller and (c) the goods are of description which it is the course of seller’s business to supply, there is an implied condition that the goods shall be reasonably fit for such purpose. This exception, however, does not apply if the goods are bought under the patent or other trade name.
2. Condition as to description: Where the goads are purchased by description and they do not correspond with the description, the rule of caveat emptor does not apply.
3. Implied condition as to merchant ability: Where goods are bought by description from a seller who deals in goods of that description, there is an implied condition that the goods shall be of merchantable quality.
4. Condition as to wholesomeness: This condition is applicable in case of foodstuffs and other goods meant for human consumption. In such cases there is an implied condition that the goods shall be fit for human consumption.
5. Conditions implied by custom of trade: An implied condition as to quality or fitness for a particular purpose may be annexed by the usage of trade.
6. Seller is guilty of fraud: Where the consent of the buyer is obtained by fraud by the seller or where the seller knowingly conceals a defect so that it could not be discovered on a reasonable examination, the doctrine of caveat emptor does not apply.
By: Parvesh Mehta ProfileResourcesReport error
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