Bona Fide Purchaser

(redirected from Bona Fide Purchasers)
Also found in: Dictionary, Thesaurus, Legal, Financial.
Related to Bona Fide Purchasers: Bona fide purchaser for value without notice

Bona Fide Purchaser

 

in civil law, a person who has acquired property without knowing that the person from whom he has acquired it did not have the right to sell, give, or exchange it. The sale of stolen or found goods, in particular, is unlawful. The bona fide purchaser is the person who not only did not know but also should not have known and could not have known of the unlawfulness of his acquisition. This means that when acquiring a particular article one must exercise caution; for example, the acquisition of an article at too low a price under suspicious circumstances may serve as the basis for concluding that the purchaser, although he did not know for certain, could have and should have assumed that he was acquiring a stolen article. A purchaser who knew or should have known of the unlawfulness of the transaction is recognized as a bad-faith purchaser.

Good faith in acquisition is very important in the recovery by an owner of property in the unlawful possession of another person; for example, in Soviet civil law money and securities may not be recovered from a bona fide purchaser. If property has been purchased for value by a bona fide purchaser, the owner may recover his property from the purchaser only in cases that are strictly defined by law (Civil Code of the RSFSR, arts. 152 and 153).

Mentioned in ?
References in periodicals archive ?
legitimate interests of the owner and a bona fide purchaser.
rights of the bona fide purchaser, the Constitutional Court of the
Courts have not established exactly what makes a bona fide purchaser in
or acquired it afterward as a bona fide purchaser for value).
7) The bona fide purchaser of a fee simple interest will, by registration, hold indefeasible title.
The new holder of the mortgage registered its interest and then assigned it to another bona fide purchaser who also secured registration.
B sells to bona fide purchaser C by warranty deed, and C does not record.
A conveys to B, a bona fide purchaser aware of the O-to-A deed, who records the A-to-B deed but not the O-to-A deed.
The justice then considered those sections of the Act where there were express references to 'any bona fide purchaser for value', (12) 'transfer for valuable consideration', (13) and 'disposition for valuable consideration', (14) and concluded that these express references extended to the whole statute and as a consequence, the purpose of the statute was not to confer indefeasible and paramount title on mere volunteers who had become registered as proprietors.
As a bona fide purchaser for value his security of title was not in dispute once he was entered in the register as the registered proprietor.
547(e)(2)(A)) A "transfer" is deemed perfected for purposes of 547 when it has been perfected under state law so that a bona fide purchaser from the debtor cannot acquire a superior interest.
Routine title defects: The trustee as bona fide purchaser and lien creditor