The Law Relating to the Hire Purchase System With An Appendix of Forms

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C. 457 ; see also Ex parte Emerson, Re Hawkiw, 41 L. J. Bank. 20.
26 HIRE-PURCHASE.
remain the sole and absolute property of the lessors. The owners were given certain rights as to possession and sale of the engine if the lessee should become bank- rupt. The lessee paid the first instalment, and became bankrupt while the engine was in his possession ; some instalments being overdue, the lessors took no steps to recover the balance, or sell. The assignee in bankruptcy having seized the engine, t
...he lessors applied for its delivery. Held, that upon the true construction of the agreement the property in the engine never passed to the lessee, but remained in the lessors, that the trans- action was therefore not within the Bills of Sale Act, and that the lessors were entitled to the engine. (Mclntyre v. Crossley. ) No difficulty arises on hire-purchase agreements of the direct kind, as, for instance, those between dealers in furniture and their customers ; but where debts are secured by means of a series of transac- tions, one of which is a hire-purchase agreement, then a question under the Acts often arises.

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