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 ?
Even once you've proved you are an innocent purchaser, you still stand to lose both the car and the money you paid for it because you are not the legal owner and your insurance policy is unlikely to cover this scenario.
We believe we were an innocent purchaser," Villa said.
Q: Could Marie be considered an innocent purchaser for value and thus could have acquired a valid title over the whole property?
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.
The verdict might seem harsh given that the museum did not make any effort to locate the stolen tablet and just waited for the innocent purchaser to surface.
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.
Amendments to the LTA in 2005 made it clear that an innocent purchaser of a fee simple interest will, by registration of the instrument purporting to transfer the fee simple interest, acquire that interest, even if the vendor is a rogue.
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.