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HIRE-PURCHASE ACT (NORTHERN IRELAND) 1966 - SECT 62

62.(1) The provisions of this section shall have effect where a motor vehicle
has been let under a hire-purchase agreement, or has been agreed to be sold
under a conditional sale agreement, and, at a time before the property in the
vehicle has become vested in the hirer or buyer, he disposes of the vehicle to
another person.

(2) Where the disposition referred to in subsection (1) is to a private
purchaser, and he is a purchaser of the motor vehicle in good faith and
without notice of the hire-purchase agreement or conditional sale agreement,
that disposition shall have effect as if the title of the owner or seller to
the vehicle had been vested in the hirer or buyer immediately before that
disposition.

(3) Where the person to whom the disposition referred to in subsection (1) is
made (in this subsection referred to as "the original purchaser") is a trade
or finance purchaser, then if the person who is the first private purchaser of
the motor vehicle after that disposition (in this section referred to as "the
first private purchaser") is a purchaser of the vehicle in good faith and
without notice of the hire-purchase agreement or conditional sale agreement,
the disposition of the vehicle to the first private purchaser shall have
effect as if the title of the owner or seller to the vehicle had been vested
in the hirer or buyer immediately before he disposed of it to
the original purchaser.

(4) Where, in a case falling within subsection (3),

(a)the disposition whereby the first private purchaser becomes a purchaser of
the motor vehicle in good faith and without notice of the
hire-purchase agreement or conditional sale agreement is itself a letting
under a hire-purchase agreement, and

(b)the person who is the owner in relation to that agreement disposes of the
vehicle to the first private purchaser, or a person claiming under him, by way
of transferring to him the property in the vehicle in pursuance of a provision
in the agreement in that behalf,

(5) The preceding provisions of this section shall have effect

(a)notwithstanding anything in section 21 of the Sale of Goods Act [1979]
(which relates to the sale of goods by a person who is not the owner), but

(b)without prejudice to the provisions of the Factors Acts (as defined by
[section 61(1) of the said Act of 1979]) or of any other enactment enabling
the apparent owner of goods to dispose of them as if he were the true owner of
the goods.

(6) Nothing in this section shall exonerate the hirer or buyer from any
liability (whether criminal or civil) to which he would be subject apart from
this section; and, in a case where the hirer or buyer disposes of the motor
vehicle to a trade or finance purchaser, nothing in this section shall
exonerate

(a)that trade or finance purchaser, or

(b)any other trade or finance purchaser who becomes a purchaser of the vehicle
and is not a person claiming under the first private purchaser,

Protection of purchasers of motor vehicles.

© 1966 Crown Copyright

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