DEFINITION of 'Caveat Subscriptor'

A latin term that means "let the seller beware." Caveat subscriptor means that any defect or shortcoming in a good or service that is sold to a willing buyer is the responsibility of the seller. Caveat subscriptor is generally applicable in highly-regulated markets and markets where competition is high.

BREAKING DOWN 'Caveat Subscriptor'

For example, Frank sells a car to Jim with the promise that the car is in good condition and is running smoothly. The car doesn't start when Jim tries to drive it away after paying Frank for the car. Frank is responsible for repairing the car under the caveat subscriptor doctrine.

RELATED TERMS
  1. Caveat

    A Latin term that means "let him beware." Caveats have many applications ...
  2. Caveat Emptor

    A neo-Latin phrase meaning "let the buyer beware." It is a principle ...
  3. Selling Out Of Trust

    A term commonly used in the automobile industry to refer to the ...
  4. Franking Credit

    A type of tax credit found in countries such as Australia that ...
  5. Seller

    1. An individual or entity that exchanges any type of good or ...
  6. Purchase-Money Mortgage

    A mortgage issued to the borrower by the seller of the home as ...
Related Articles
  1. Personal Finance

    7 Mistakes to Avoid When Buying a Used Car

    Understand the benefits of buying a used car. Learn about seven mistakes to avoid before making a used car purchase.
  2. Personal Finance

    Options For When You Can No Longer Afford Your Car

    If you have more car than you can afford, here are four ways to deal with this "debt on wheels."
  3. Retirement

    Is It Worth Buying a New Car If You're Already Retired?

    You have to consider more than just the purchase price: Insurance, the warranty, resale value and how much you plan to drive are all important factors.
  4. Personal Finance

    How Risky Are Long-Term Car Loans?

    A look under the hood of long-term car loans.
  5. Personal Finance

    Car Shopping: New Or Used?

    Don't get taken for a ride. Learn the pros and cons before the salesperson makes a pitch.
  6. Investing

    How To Get A Good Deal On A Used Car

    Why are prices quoted by dealers and private sellers so disparate? Read on to find out how to use that info to your benefit when buying a used car.
  7. Investing

    The Ins And Outs Of Seller-Financed Real Estate Deals

    There's more than one way to buy or sell a house. Seller financing presents yet another unique option.
  8. Personal Finance

    Wheels Of A Future Fortune

    Buy a quality car without driving your expenses through the roof.
  9. Personal Finance

    The 5 Things You Never Knew About Auto Loan Rates

    Buying a new car is an important decision, and if you're a savvy auto buyer, you know that getting a good deal involves more than snagging a great price.
  10. Investing

    Top Tips for Buying or Selling a Car

    If you're selling your car or buying one, here are several tips and tools to make sure your price is the right one.
RELATED FAQS
  1. When buying a car, is it better to have a trade in or a down payment?

    When buying a car, it may be better to have a down payment rather than a trade in. A trade in offers convenience to the car ... Read Answer >>
  2. What are the differences between Ex Works (EXW) and Free On Board (FOB)?

    Learn about Ex Works and Free on Board, the main difference between these Incoterms, and the responsibilities of buyers and ... Read Answer >>
  3. How is it possible to trade on a stock you don't own, as is done in short selling?

    Understand how the process of short selling allows a person to sell a stock he or she doesn't technically own by borrowing ... Read Answer >>
Hot Definitions
  1. Magna Cum Laude

    An academic level of distinction used by educational institutions to signify an academic degree which was received "with ...
  2. Cover Letter

    A written document submitted with a job application explaining the applicant's credentials and interest in the open position. ...
  3. 403(b) Plan

    A retirement plan for certain employees of public schools, tax-exempt organizations and certain ministers. Generally, retirement ...
  4. Master Of Business Administration - MBA

    A graduate degree achieved at a university or college that provides theoretical and practical training to help graduates ...
  5. Liquidity Event

    An event that allows initial investors in a company to cash out some or all of their ownership shares and is considered an ...
  6. Job Market

    A market in which employers search for employees and employees search for jobs. The job market is not a physical place as ...
Trading Center