The Doctrine of Caveat Emptor in the Age of Online Marketplace

The traditional common-law principle of caveat emptor, the idea that buyers should be cautious when making purchases, relies on the buyer's personal ability to inspect the item being purchased. This has currently become impractical due to the growth of the practice of online shopping. This paper discusses the rapidly changing legal environment for online sellers and buyers. It focuses on the rapid rise of global online marketplaces, which have changed the seller's responsibility towards the buyer. Additionally, this paper discusses the Consumer Protection Act, 2019, and the E-Commerce Rules, 2020, and how they redefine due diligence, especially in terms of third-party delivery services and algorithmic ranking systems. By reviewing relevant court cases and case studies, including the landmark case of Amazon Seller Services v. Amway India, this study identifies a growing duty of care obligation of intermediaries that extends beyond classic contractual obligations.