Legal principles that are applicable
- Property in a hire purchase contract does not pass until the hirer has paid the final instalment, and
- Exercise the option to purchase the goods.
- Therefore under the doctrine of nemo dat, Ben Moses has no title to pass to lsaby.
- The title of the car is still in the name of Arizona Motors Ltd. until Ben Moses pays the last instalment.
- lsaby is a stranger to the hire purchase contract between Ben Moses and Arizona Motors Ltd. under the doctrine of privity of contract.
- Isaby cannot successfully sue Ben Moses for the recovery of the car
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