Question

A company advertises a product with false claims about its benefits. What legal principle is applicable in determining the company's liability for false advertising?

• A. Caveat emptor
• B. Caveat vendor
• C. Caveat lector
• D. Caveat actor

Hint:

Focus on the legal principles that assign responsibility to sellers and buyers in commercial transactions.

Answer 1

The Correct Option is B

Caveat vendor, meaning "let the seller beware," is the legal principle that holds the seller responsible for ensuring the goods they sell are not misleading or false. In the case of false advertising, the company, as the seller, is accountable.