Although the phrase "caveat emptor" has many variations and is used in fields like software as well, its literal translation in Latin means "let the buyer beware". Earlier, it was used as the law that governed the sale of the property after the 'closing' date had passed. Due to the caveat emptor law, a buyer was unable to recover the defects in the property from the seller even if the defects were such that they made the land useless for ordinary purposes, except for cases where the seller had deliberately hidden the defects.
In today's world, however, this rule has been replaced by the Implied Warranty of Fitness. Before the statutory law, the buyers were not provided with a warranty for the goods, but later, alterations to laws made it compulsory that the goods be of "merchantable quality". However, since it is impossible to enforce this law on all the possible products, it becomes essential for the buyers to be a little more aware and careful. The term caveat emptor also applies to the return policy context wherein the vendor doesn't necessarily provide the buyer with a refund but a credit or a direct exchange of the good instead.
In today's world, however, this rule has been replaced by the Implied Warranty of Fitness. Before the statutory law, the buyers were not provided with a warranty for the goods, but later, alterations to laws made it compulsory that the goods be of "merchantable quality". However, since it is impossible to enforce this law on all the possible products, it becomes essential for the buyers to be a little more aware and careful. The term caveat emptor also applies to the return policy context wherein the vendor doesn't necessarily provide the buyer with a refund but a credit or a direct exchange of the good instead.
