Adverse Possession Of Chattels Flashcards
Voidable title can be good title if it is sold to a good faith buyer and if from a reputable seller. The seller must be:
1) merchant who deals in goods of this kind,
2) This is an ordinary course of business,
3) must be a bona-fid purchaser,
4) must have good faith in purchase.
What it boils down to: IS THERE A REASON TO SUSPECT THE TITLE OF THE ITEM BEING BOUGHT OR THE PERSON WHO IS SELLING IT?
Two types of titles:
Void: void title is always void and there is no title.
Voidable: with a bona fide purchaser the item can be transferred with good title.
Discovery rule for Chattels:
The owner must know or should have known (constructive knowledge) of the location or who the possessor of their item is.
Discovery rule is held to what standard?
Objective standard!
The actions of the actor matter while the intent of the actor does not.
Rule before the discovery rule kicks in:
The statute begins running at the time of the theft as long as all the elements of adverse possession are met, especially the open and notorious and the hostile elements. But if it had gone underground or cannot be found, then discovery rule kicks in.
Hypo: a painting is stole in 1980. Statute is 6 years. It is shown publicly in Japan for 3 years. Then sold to someone in California. How long does that person need to wait for good title?
The title is void and will always be void. In this case the statute of limitations doesn’t matter because the buyer was not a BFP because he bought it in Japan which is sketchy. So the title will be void forever and always.
