Intention Rukes - transfer Of Ownership

Question 1

Rule 1: ready for delivery

Munro v Liquidator of Balmagoun Estates co

Answer 1

Buyer enters sellers land to cut down/remove timber which is still growing on the land- the seller tried to stop him however the court said that the goods were ready for delivery

Question 2

Rule 2: item ready for delivery- seller bound to do something

Gowans v Bowe and Sons

Answer 2

Sale of potatoes - agreed that when potatoes were ready farmer would dig them up and put them in pits- when the buyer was ready to collect he would wash and bag them- the seller went bankrupt after the potatoes were put in pits - the potatoes had passed to the buyer

Question 3

Rule 2: item ready for delivery- seller bound to do something

Brown Bros v Carron Co

Answer 3

Contracted to buy a crane from B but wanted it altered- C decided not to buy crane before the alterations were made- there was no transfer as it was not in a deliverable state

Question 4

Rule 2: item ready for delivery- seller bound to do something

Underwood v Burugh castle brick

Answer 4

30 tin condensing machine told to take apart however they didn’t and it broke- the property did not pass

Question 5

Rule 3: Necessary Weighting

Banks Bruce v Commonwealth Trust

Answer 5

The sub buyer had weighed goods and so rule 3 did not apply

Question 6

Rule 4: Goods delivered on approval (if you deliver goods property doesn’t pass until they say they are fine)

Kirkham v Attenborough

Answer 6

A manufacturer of jewellery sold goods on sale or return to winter. They were then pawned to A. Ownership passed to winter when he pawned the Hewlett’s

Question 7

Rule 5(1): Future/Unascertained goods a) unconditional appropriation

Carlos Federapeil & Co v Charles Twigg & Co Ltd

Answer 7

Intention to attach the goods contract irrevocably to the goods and no others- usually the last act the seller is bound to performer before the property transfers

Question 8

Rule 5(1): Future/Unascertained goods a) unconditional appropriation

Hendry Lennox Ltd v Graham Puttick Ltd

Answer 8

Appropriation did not happen when the generators were set aside and the names of the customers were added. It happens when invoices were sent and delivery notes

Question 9

Rule 5(2): retention of title clauses

Healy v Howett &Sons

Answer 9

Several orders dispatched together- not clear which goods due to which buyer- goods not ascertained and so property could not pass

Question 10

Woodburn v Andrew Motherwell

Answer 10

S18 rules are only a guide to intention where intention is clear under S17 there is no need to resort to the rules