Title

Question 1

Title - Definition

Answer 1

• A legal right to the property

• A person cannot give better title to property than they own.

Question 2

Material differences between Theft & Obtaining by Deceipt

Answer 2

• A thief never gets title

• A thief who by deception, induces another to hand over the goods (& title), the title will pass. However, there may be limitations on this title.

Question 3

Voidable title

Answer 3

• Title obtained by deception, fraud, duress or misrepresentation is called a voidable title

• This means that the title can be voided by the seller

• If an innocent purchaser buys goods o/b/d before title has been voided, he is entitled to a good title.

Question 4

How can title be voided?

Answer 4

CATS

• Communicaton to ‘B’

• Advising Police the goods were obtained by fraud

• Taking all possible steps to bring it to B’s attention (letter, phone, txt)

• Small Claims Tribunal

Question 5

Receiving after restoration to owner - s246(4)

Answer 5

If -

(a) any property stolen or obtained by any other imprisonable offence has been returned to the owner; or

(b) legal title to any such property has been acquired by any other person

A subsequent receiving of it is not an offence, even if the receiver knew the property had previously been stolen.

Question 6

When can a person keep title of goods fraudulently obtained?

Answer 6

• s246(4) is an exception to the rule that you cannot get a better title than the seller

• If the original purchaser sells the goods to an innocent buyer (not aware of the defect in title) then the title has been made legal.