What is caveat emptor?

Caveat emptor is the principle that buyers must look out for themselves. Proper precaution must be taken to be certain there are no major defects in the property. Even with more states moving away from caveat emptor, buyers must do their due diligence before buying a property.

What happens if a buyer fails to meet a 'caveat emptor'?

A buyer who fails to meet this burden is unable to recover for defects in the product that would have been discovered had this burden been met. The phrase “caveat emptor” is Latin for “let the buyer beware.” Caveat emptor principles are generally still followed today; however, they are subject to exceptions.

What is a caveat emptor disclaimer?

The principle of caveat emptor is sometimes used in legal contracts as a type of disclaimer. A caveat emptor disclaimer precludes post-purchase disputes despite the seller having more information than the buyer about the quality of a good or service. The U.S. has generally shifted from caveat emptor to caveat venditor, or, "let the seller beware."