Title Flashcards
Title
Oxford Dictionary: A right or claim to the ownership of property
A legal right to property.
A person cannot give better title to property than they own.
Material difference between dishonesty and deceit
A thief never gets title.
However, a person who by deception or other deceit, induces another to hand over the goods (and title), title will pass.
Note, however, that there may be limitations on this title.
Voidable Title
A title obtained by deception, fraud, duress or misrepresentation is called a ‘voidable title’.
This means that the title can be voided by the seller.
Until the title is voided, the defrauder has voidable title, and can confer good title on anyone who acquires the goods from him or her in good faith and for value.
Thus, if an innocent purchaser buys goods obtained by deception, before title has been voided, then he or she is entitled to good title.
How complainant can void title
- Communicate with the offender
- Take all other possible steps to bring it to offender’s notice, eg by writing a letter
- Advise the police that the item was obtained by deception
When does title pass
S19 Sale of Goods Act 1908
Where there is a contract for the sale of specific goods between the parties, title passes when it was intended to pass by the parties.
Under the Sale of Goods Act 1908, what should be considered when ascertaining the intention of the parties to confer title?
- The terms of the contract
- The conduct of the parties
- The circumstances of the case.
Receiving after restoration to owner - Legislation
CA61; S246(4)
Receiving after restoration to owner:
(a) If any property stolen or obtained by any other imprisonable offence has been returned to the owner; or
(b) If legal title to any such property has been acquired by any other person,
- a subsequent receiving of it is not an offence, even though the receiver may know that the property had previously been stolen or obtained by any other imprisonable offence.
Legal Title
Section 246(4) is an exception to the rule that you cannot get a better title than the seller.
If the original purchaser subsequently sells the goods to an innocent buyer (one who is not aware of the defect in title) then the title has been made legal.
Title voided
If the voidable title has already been voided by a complainant, leaving the fraudulent offender with mere possession only, then a ‘legal title’ has not been acquired within the meaning of the section and a subsequent receiving of those goods is an offence.
Hire Purchase - example
Where goods are purchased on hire purchase, title is not obtained until the full amount is paid.
If a deposit is made on a hire purchase by ‘A’ through a false representation, then possession only is obtained.
Obtaining by deception v theft by conversion
- Theft v obtaining by deception is about possession and ownership
- If someone gains something by deception, then they have been given possession and/or ownership of the property.
- If someone has gained property by theft, they only have possession and never ownership.
- The ‘taking’ (theft) does not include obtaining ownership, possession of, or control over the property with the consent of the original owner. However, a subsequent ‘conversion’ of anything in which possession is obtained by deception may be theft.
- When goods are obtained on hire by a false representation, the offence committed is deception. However, if the offender later sells the hired goods to another, they commit theft by conversion.