Innocent Purchaser

Innocent Purchaser

An individual who, in Good Faith and by an honest agreement, buys property in the absence of sufficient knowledge to charge him or her with notice of any defect in the transaction.

An individual is an innocent or goodfaith purchaser when he or she buys something, paying valuable consideration, without actual or constructive notice of any legal infirmity in the sale. The purchaser of a gold bracelet for $500 from a jewelry store cannot be charged with notice that the bracelet was stolen.

References in periodicals archive ?
1 of the CCTA code of practice: 'members should afford innocent purchasers of vehicles, that are a subject to a Bill of Sale, the same protection under the Hire-Purchase Act 1964 Part III - "Title to Motor Vehicles on Hire-Purchase or Conditional Sale", but only insofar as title shall transfer to the innocent purchaser in the event that the Member failed to register his interest in that vehicle with a relevant Asset Finance Register Company within 24 hours of execution of the agreement.
1 of the CCTA code of practice: "members should afford innocent purchasers of vehicles, that are a subject to a Bill of Sale, the same protection under the Hire-Purchase Act 1964 Part III - "Title to Motor Vehicles on Hire-Purchase or Conditional Sale", but only insofar as title shall transfer to the innocent purchaser in the event that the Member failed to register his interest in that vehicle with a relevant Asset Finance Register Company within 24 hours of execution of the agreement.
While the California court had taken a relatively relaxed view of what is "reasonable" to require of a new purchaser, the Fourth Circuit held that the standard for a BFPP should at least meet the standard required of an innocent purchaser, and that "logic seems to suggest" that the standard of care for a BFPP should actually be higher.
It is my understanding, that as the banks will have assumed the legal ownership of the title, and thereafter will refuse to recognise that the poor innocent purchaser as the beneficial owner, will they find a way out of paying or will it again be a case of having your cake and eating it?
It's the innocent purchaser who has to make the claim on the guarantee and it's at this point they find it's not worth the paper it's written on.
As such, he is classed as an innocent purchaser by law.
I believe the police were aware of the identity of the thief but chose instead to prosecute an innocent purchaser for value twice removed down the chain.
Sellers or buyers of commercial property must comply with these new requirements or risk losing innocent purchaser and other defenses.
4) Accordingly, by mitigating risks though innocent purchaser and/ or landowner liability relief, the risk effects and adverse property value impacts of environmental stigma may be reduced.
Pre-BRERA, an innocent purchaser would have been subject to CERCLA liability, and thus would have demanded a discount to buy the property.
Hayes had sold the computer he had used to download them, but officers traced the innocent purchaser, who was not aware of the nature of the deleted files on the hard drive.
In 2002, the Small Business Liability Relief and Brownfields Revitalization Act (43) clarified CERCLA's inquiry requirement, which for years was the operating standard for determining whether, in the language of the Act, the innocent purchaser "had no reason to know" of possible contamination, (44) but the Act did not change the fundamental principle of unlimited status liability for one who holds title at the critical time when cost recovery is sought and does not fit an immune category.