
Firstly is this a breed that is prone to RD ? Was an autopsy done to establish if the condition was present ?
Is there a DNA test for RD ? answer is there is no creditable DNA test for RD.
So the parents cannot be screened & it is up to the buyer to research the breed regarding RD before buying a puppy.
It is different for conditions for which there is a KNOWN genetic cause & for which there IS a creditable test available. The buyer can establish that the parents have been DNA tested or not from certificates, online records & microchip/tattoo records, before buying.
More complex conditions like HD, ED , epilepsy(there are some breeds for which a DNA marker gene has been found)etc there are some clinical tests available, but unlike DNA tests these are not proof the puppy will not develop the condition, but there are no foolproof methods for breeders to prevent the condition from being present in their puppies.
I don't understand the term"private seller"when applied to live animals. You buy puppies from a breeder, regardless of whether the breeder is a pet owner, hobbyist or commercial breeder.
There are trading standard laws that differentiate between a commercial seller & a private seller, but whether or not this applies to live animals is debatable as there are specific Laws that cover the breeding & sale of live animals separate from Trading Standards legistation.
Didn't your brother insure his puppy ? What purpose did he buy the puppy for ? Does he have a sales contract with the breeder ? Did he tell the breeder he wanted a puppy for a specific purpose ?
To establish whether something is "fit for purpose" is difficult without knowing what the purpose is. It's not like buying a car which breaks down on the way home & can't be driven, obviously you buy a car to drive, if it can't be driven it's not fit for purpose. But if the same car breaks down 5 months after purchase it is more difficult to prove.
If you buy a dog as a puppy to work sheep & it turns out to have no interest, it may not be fit for purpose, but there is no way a breeder can know that at 8 weeks & you have no recourse to law.
How sad for the puppy to die so young, but as for recouping his losses(purchase price + vet fees I presume)for a condition for which there is no means of screening the parents 100% before breeding for is nigh on impossible, especially if no undesputable medical evidence exists, only a veterinary opinion.