Can a mortgagee of chattels bring an action of trover against a purchaser of some of the goods from the mortgagor?
Saskatchewan, Canada
The following excerpt is from Saskatchewan Co-operative Elevator Co. Ltd. v. Canadian Pacific Railway Company, 1924 CanLII 183 (SK CA):
In National Mercantile Bank v. Hampson, supra, the mortgagee of chattels brought an action of trover against a purchaser of some of the goods from the mortgagor, and the defendant pleaded that he bought the goods in the ordinary course of business, and without notice that they were not the property of the vendor. Lush, J. held that the defence was good, saying, that, having regard to the terms of the bill of sale, there was an implied license for the grantor to carry on his business and any bona-fide purchaser from him would have a good title.
"The most advanced legal research software ever built."
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.
Other Questions
Does a subsequent purchaser of the legal estate have to pay the full consideration of the purchase, even after the purchase was completed, if the subsequent purchaser has paid the entire amount of consideration, even though the previous purchaser had a prior equitable interest in the property? (Saskatchewan, Canada)
What action does a mortgagee in purchasing the mortgaged property at a tax sale place him in the position of holding the title, which he subsequently procures, subject to the right of the mortgagor to redeem? (Saskatchewan, Canada)
In what circumstances will a mortgagee bring an action against the executor of the mortgagor? (Saskatchewan, Canada)
Can a vendor bring an action at law or equitable action for an intermediate instalment of a contract? (Saskatchewan, Canada)
Is a purchaser bound by the provision in an agreement that "the purchaser accepts the purchaser's title to the said land"? (Saskatchewan, Canada)
Does a purchaser have good title to goods taken in execution and sold by the bailiff as against the real owner? (Saskatchewan, Canada)
Can a mortgagee in a mortgage action tax the costs of the action? (Saskatchewan, Canada)
Is a mortgagee entitled to possession of the mortgagor's chattels? (Saskatchewan, Canada)
Is a mortgagee permitted to sell or dispose of the goods in the ordinary course of business? (Saskatchewan, Canada)
What is the law on fixtures between a mortgagor and mortgagee? (Saskatchewan, Canada)
