CAVEAT EMPTOR (let the
buyer beware)-BUT ALSO BE AWARE OF THE EXCEPTIONS
While the public generally
has limited knowledge of the law, people do tend to know, or rather
think they know, that once they buy something, they can't get their
money back no matter what
even if it's not what they thought they
were buying, it doesn't work like they thought it would, it keeps breaking
down , or it doesn't do what they were told it would do. There is some
good news, which under certain circumstances would qualify the legal
principle of "buyer beware". You might have recourse to the
law and be able to get your money back, if you, for example, later learn
that the antique is not what the dealer said it was, or find that the
expensive shirt began to fray after a few months
Ontario legislation may
be of assistance to consumers. Statutes such as the Consumer Protection
Act and the Sale of Goods Act, which do afford limited protection, are
frequently interpreted by the Courts in favour of aggrieved individuals,
and even businesses. However, there also exists the "common law",
which is an ever-expanding body of law, created by Judges over the years,
that can be relied on in Court.
An example from my practice
illustrates the point. Mr. Smith purchased an expensive antique armoire
from a dealer who had a sound reputation and had been in business for
many years. The client bought the cupboard through e-mail, receiving
photos of it, being told that there had been only minor alterations/repairs
to the piece, and learning of the importance of the armoire in terms
of being a good quality representation of a rare piece of early Canadiana.
After paying for it the client learned that there had been extensive
repairs and alterations, and that it was not worth anywhere close to
what he had paid
it was nothing extraordinary. At first instance
one might think the client was foolish, he should have done his "due
diligence" before buying, and that he must live with his mistake.
However, if the seller induced the buyer with negligent or fraudulent
misrepresentations, or if there was a complete lack of what is known
as "consideration" flowing from the seller to the buyer (i.e.
the buyer got virtually nothing in exchange for paying the money), the
transaction can be set aside by the Court and the vendor ordered to
return the full purchase price.
There are numerous legal
principles that can be used to advance your position in attempting to
obtain justice. In the example provided, we have misrepresentation and
lack of consideration. Cases with different facts might rely on other
principles Courts might be willing to entertain. They include: 1) The
product must be of merchantible quality, or put another way, of such
a minimum standard that the ordinary person should be expected to pay
for it; 2) What were the reasonable expectations of the parties at the
time that the transaction was completed? Frequently a vendor might recognize
that his reputation is at stake, and reimburse the full price without
much of a fight. In the noted case, the dealer had a reputation to uphold,
and he knew that word would spread like wildfire if he didn't reimburse.
There is also the ability to obtain the opinion of a recognized expert
to marshall your position. This holds true not only with antiques and
other unique items, but also with equipment, vehicles, and so on.
I have outlined a few of
the many principles and ideas that can be used by you, or perhaps creative
counsel, in countering CAVEAT EMPTOR. As suggested, in the legislation
there are specific provisions that can also be relied upon. Before giving
up, you should speak to someone who might know a little bit more than
you , so that you can assess whether you should retain a lawyer, and
for what purpose. Perhaps a well-worded letter or two, and some hard
negotiations, will result in justice at a reasonable cost.
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