What is the test for the doctrine of caveat emptor in real estate law?

British Columbia, Canada


The following excerpt is from Yue v. Stones & Emnace, 2009 BCPC 81 (CanLII):

Bennett J. concluded in McCluskie v. Reynolds et al, (1998) B.C.J. No. 1662 at paragraph 53 …the doctrine of caveat emptor will not operate to deny the plaintiff’s recovery in the following situation: 1. where the vendor fraudulently misrepresents or conceals; 2. where the vendor knows of a latent defect rendering the house unfit for human habitation; 3. where the vendor is reckless as to the truth or falsity of statements relating to the fitness of the house for habitation; 4. where the vendor has breached his duty to disclose a latent defects which renders the premises dangerous.

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