Friday, November 18, 2011

Non-Owner Seller

The general principle is that a seller without title cannot transfer a better title than he has.

Moreover, the owner of the goods who has been unlawfully deprived of it may recover it even from a purchaser in good faith.

The exception from the general principle is the doctrine of estoppel where the owner of the goods is precluded from denying the seller’s authority to sell. But in order that there may be estoppel, the owner must, by word or conduct, have caused or allowed it to appear that title or authority to sell is with the seller and the buyer must have been misled to his damage (Antonio Francisco, substituted by his heirs, Nelia E.S. Francisco, et al. Vs. Chemical Bulk Carriers, Inc., G.R. No. 193577. September 7, 2011).

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