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Commerce · Q725

Insurance

Graduate and Post Graduate · Commerce · question 725

Q725

In commercial contracts, the principle to be observed is

A.
Caveat Emptor
Answer
B.
Indemnity
C.
Proximity
D.
Uberrima Fides

Answer: Option A

Solution

Answer: Option A
Solution:
In commercial contracts, the principle to be observed is Caveat Emptor. Caveat emptor is a Latin term that means "let the buyer beware." Similar to the phrase "sold as is," this term means that the buyer assumes the risk that a product may fail to meet expectations or have defects.