General Motors Acceptance Corp. of Canada Ltd. v. Hubbard, (1977) 18 N.B.R.(2d) 248 (QB)

• Judge: Stratton, J.
• Court: Court of Queen's Bench of New Brunswick (Canada)
• Case Date: July 14, 1977
• Jurisdiction: New Brunswick
• Citations: (1977), 18 N.B.R.(2d) 248 (QB)

GMAC v. Hubbard (1977), 18 N.B.R.(2d) 248 (QB);

    18 R.N.-B.(2e) 248; 26 A.P.R. 248

MLB headnote and full text

Sommaire et texte intégral

General Motors Acceptance Corporation of Canada Ltd. v. Hubbard

Indexed As: General Motors Acceptance Corp. of Canada Ltd. v. Hubbard

Répertorié: General Motors Acceptance Corp. of Canada Ltd. v. Hubbard

New Brunswick Court of Queen's Bench

Stratton, J.

July 14, 1977.

Summary:

Résumé:

This case arose out of the plaintiffs' claim against the defendant under a conditional sales contract for the return of a vehicle. The defendant was a bona fide purchaser without notice from a conditional vendee of the plaintiff conditional vendor.

The New Brunswick Court of Queen's Bench dismissed the plaintiff's action and held that the defendant took title to the vehicle.

Conditional Sales - Topic 1010

Rights of third parties - Loss of title to subsequent purchaser - Resale by conditional vendee to bona fide purchaser without notice - The plaintiff sold a vehicle in Ontario under a conditional sales contract - The purchaser removed the vehicle to New Brunswick and resold it to the defendant bona fide purchaser without notice - Subsequently, the plaintiff learned that the vehicle had been removed to New Brunswick and registered the conditional sales contract there - The plaintiff brought an action against the defendant for the return of the vehicle - The New Brunswick Court of Queen's Bench, dismissed the action and held that the defendant as a bona fide purchaser without notice could not be charged with notice of the conditional sales contract, which had not been registered.

Sale of Goods - Topic 3125

Transfer or loss of title - Sale by buyer to subsequent bona fide purchaser without notice - Where buyer is purchaser under a conditional sales contract - Conditional Sales Act, R.S.N.B. 1973, c. C-15, ss. 1, 2 and 5 - Sale of Goods Act, R.S.N.B. 1973, c. S-1, s. 24(2) - The plaintiff sold a vehicle in Ontario under a conditional sales contract - The purchaser removed the vehicle to New Brunswick and resold it to the defendant bona fide purchaser without notice - Subsequently, the plaintiff learned that the vehicle had been removed to New Brunswick and registered the conditional sales contract there - The plaintiff brought an action against the defendant for the return of the vehicle - The New Brunswick Court of Queen's Bench, dismissed the action and held that the defendant took title to the vehicle pursuant to s. 24(2) of the Sale of Goods Act, notwithstanding the protection granted to sellers in the Conditional Sales Act.

Cases Noticed:

Manchester Trust v. Furness, [1895] 2 Q.B. 539, cons'd. [para. 11].

Vowles v. Island Finances Ltd., [1940] 4 D.L.R. 357, cons'd. [para. 11].

Traders Finance Corp. v. Dawson Implements Ltd. (1958), 15 D.L.R.(2d) 575 (B.C.), folld. [para. 12].

Century Credit Corp. v. Richard (1962), 34 D.L.R.(2d) 291 (Ont. C.A.), folld. [para. 12].

Kozak v. Ford Motor Credit Co. (1971), 18 D.L.R.(3d) 735, not folld. [para. 12].

Traders Group Ltd. v. Concorde Truck & Camper Rentals Ltd. (1974), 45 D.L.R.(3d) 732, ref'd to. [para. 12].

Newtons of Wembley Ltd. v. Williams, [1964] 3 All E.R. 532, cons'd. [para. 13].

Statutes Noticed:

Conditional Sales Act, R.S.N.B. 1973, c. C-15, sect. 1, sect. 2, sect. 5 [para. 8].

Factors and Agents Act, R.S.N.B. 1973, c. F-1, sect. 1(1), sect. 1(2), sect. 1(12) [para. 8].

Sale of Goods Act, R.S.N.B. 1973, c. S-1, sect. 2, sect. 24 [para. 8].

Authors and Works Noticed:

Fridman, Sale of Goods in Canada, pp. 140 [para. 14]; 277-278, 419-20 [para. 12].

Joanes, Andrew, Third Party Rights in Goods Subject to Conditional Sale Agreements and Chattel Mortgages, 1 U.B.C.L.R. 23, 26 [para. 9]; 28-29 [para. 10].

LaForest, G.V., Filing Under the Conditional Sales Act; Is It Notice To Subsequent Purchasers? (1958), 36 C.B.R. 837 [para. 10].

Ziegel, Jacob S., Article on Conditional Sales (1965), 43 C.B.R. 639, 645 [para. 14].

Counsel:

Anthony Allman, for the plaintiff;

Frank McKenna, for the defendant.

This case was heard at Saint John, N.B., before STRATTON, J., of the New Brunswick Supreme Court, Queen's Bench Division.

On July 14, 1977, STRATTON, J., delivered the following judgment: