Caveat emptor as 'information asymmetry'. Defects in the good or service may be hidden from the buyer, and only known to the seller. A common way that information asymmetry between seller and buyer has been addressed is through a legally binding warranty, such as a guarantee of satisfaction. But without such a safeguard in place the ancient rule applies, and the buyer should beware. Under the principle of "caveat emptor", the buyer could not recover damages from the seller for defects on the property that rendered the property unfit for ordinary purposes. The only exception was if the seller actively concealed latent
Caveat (horse) was the cause of his eventual retirement. Caveat was retired in August, 1983, and syndicated as a stallion. Among his progeny, he was the sire of Arlington Million winner Awad, Timely Warning, Cefis, Warning Glance, Ratings, and Ops Smile. As a broodmare sire, he sired Beware of the Cat, dam of Belmont Stakes winner Editor's Note. Caveat died in February, 1995, at Northview Stallion Station in Maryland and is buried in Windfields Farm Equine Cemetery at Northview Stallion Station. Caveat (horse) Caveat (March, 16 1980 – February, 1995) was an American Thoroughbred racehorse. Bred in Maryland) by Ryehill Farm, he