Illegality
Based on the following facts, i'd like to ask if at anytime illegality can be used..
A sells an item to B who is a rogue. B pays with a bad cheque. Lets assume that mistake cant be proven, so there was a valid passing of legal title.
B then sells the item to C who is an innocent third party. Standard argument would be that the seller would not be able to claim the goods back from C..
However, my question is this.. Assuming A realizes the cheque is bad, and makes a police report before B sells the item to C, would that sale be illegal in any way? Can a police report have the authority to stop the legal title from passing from B to C?
Specifically relating to illegality, does it have to be the innocent party who raises the cause of action? Or can a third party (in this case A) bring up the cause of action to make the contract between B and C illegal?
Well ...
I guess you would have to define what is meant by "illegality" in your context
If the seller does not have the legal title to sell the goods, the question is whether he can sell the goods at the first place ? (seeS 12 SOGA)
It should be assumed that the seller (A) has the legal title to sell the goods.
My question is 2 parts, appreciate it if you could give a specific answer for it :)
a. Would the act of A reporting to the police, make the subsequent sale of the item from B to C illegal? Bearing in mind that in this example B had the legal title passed to him. Your answer script would suggest that reporting it would indeed make the future transaction invalid/illegal. Can you confirm this please?
b. Who is allowed to raise the call of illegality? Would the third party (in this case A) be allowed to make a claim that a sale between B and C is illegal?
i wonder if there is ever a specific answers to a law question?
my university professor had always said - what makes one different compared to another is the ability to form an opinion
if i may have my opinion posted
a. i'm not sure what answer script that you are referring to? if there is one can you please tell me where i can get to download it?
if there is no legal title - how can there be a sale? look at cooper v phibbs - can there be a contract of something that is not yours ? there is another idea that a person's legal rights should not be jeopardise if the person is a bona fide purchaser for value. Hence, although the legal title may a big role played to ensure that there is a contract or not, you would have to consider as to who is the person pleading it
b. Whether there is an illegal part or not should be raised by anyone related to the contract. This would mean that the person who has the locus standi - why would you want to be bothered or cry wolf to the wife of your neighbour if the husband is having an affair eventhough you dont even know them?
Are you talking about the sale of property?