bona fide purchaser

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bona fide purchaser

n. commonly called BFP in legal and banking circles; one who has purchased an asset (including a promissory note, bond or other negotiable instrument) for stated value, innocent of any fact which would cast doubt on the right of the seller to have sold it in good faith. This is vital if the true owner shows up to claim title, since the BFP will be able to keep the asset, and the real owner will have to look to the fraudulent seller for recompense. (See: BFP, holder in due course)

References in periodicals archive ?

44 (2016), found that a lender/purchaser with knowledge of a deed of trust violation would not be a bona fide purchaser. "The Court therefore finds for purposes of demurrer that rescission is an available remedy should Ononuju allege sufficient facts to warrant rescission."

Rescission is available remedy to wrongful foreclosure claim

enjoys a fully valid legal right, while the bona fide purchaser'

The constitutional regulation of property rights

The proviso in section 27(b)(i) did not apply because Mr Levy could not show that he was a bona fide purchaser for value without notice.

The limitations of gifts: Levy v. Watt

civil proceedings, but generally they follow the bona fide purchaser

Advocating for asset forfeiture in the post-Madoff era: why the government, not a bankruptcy trustee, should be responsible for recovering and redistributing assets from feeder funds and net winners

The new holder of the mortgage registered its interest and then assigned it to another bona fide purchaser who also secured registration.

Finding nemo dat in the Land Title Act: a comment on Gill v. Bucholtz

Title remains in A, but to a bona fide purchaser (17) who does a title search, B appears to be the owner of part of the land granted to A.

Some issues raised by Alaska's Recording Act

On appeal, the county argued that when a developer conveys to a bona fide purchaser a lot that was previously assessed at the developer's acquisition cost, the lot must be revalued at its purchase price regardless of whether it contains a building.

Purchaser of vacant lots from original developers entitled to tax assessments based on the developers' acquisition cost

Claim (1) is defeated if the defendant is a bona fide purchaser (of the legal title) for value without notice.

'The receipt of what?': Questions concerning third party recipient liability in equity and unjust enrichment

I observe that to impose the requirement of bona fide purchaser for value in section 43 appears to negate the discrimination imposed by the statute--why distinguish between instances of registration according to whether there was fraud if the end result is the same?

Exposing the failings of our betters: bad laws don't improve with age

In order to qualify for the bona fide prospective purchaser, the disposal of hazardous substances at the site must have occurred prior to the bona fide purchaser's acquisition and the purchaser must, among other things, perform appropriate inquiries and due care in dealing with hazardous substances at the site.

New brownfields law enacted. (Insiders Outlook)

Until the lien has been established by a court, any "bona fide purchaser" buys the property free and clear of any mechanic's lien claim.

Mechanics' Liens in Maryland

Because of this dilemma, a third party is required to convey title to the successful buyer only when the third party is not a bona fide purchaser without notice of the claim.