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LAWRENCE VS BENTWORTH FINANCE NIGERIA LTD

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LAWRENCE VS BENTWORTH FINANCE NIGERIA LTD

Legalpedia Citation: (1965-12) Legalpedia 19348 (SC)

In the Supreme Court of Nigeria

Holden At Abuja

Fri Dec 17, 1965

Suit Number: SC 289/1964

CORAM


ADEMOLA CHIEF JUSTICE, NIGERIA

COKER JUSTICE, SUPREME COURT

IDIGBE JUSTICE, SUPREME COURT


PARTIES


LAWRENCE

APPELLANTS 


BENTWORTH FINANCE NIGERIA LTD

RESPONDENTS 


AREA(S) OF LAW


HIRE PURCHASE AGREEMENT 

 


SUMMARY OF FACTS

The 3rd respondent (hirer) sold the vehicle in dispute to the appellant at a time when he had not paid instalments due under the hire purchase agreement and the option fee. The 1st respondent (the owner) repossessed the vehicle from the appellant as a result of which this action was commenced. 

 


HELD


The court held that the 1st respondents as owners had a right to terminate the hiring and repossess the motor vehicle. 

 


ISSUES


Whether the 1st respondent had a right to repossess the vehicle in dispute 

 


RATIONES DECIDENDI


RIGHTS OF THE OWNER UNDER A HIRE PURCHASE AGREEMENT


‘In a hire-purchase agreement there are two principal rights of the owner of goods let to the hirer-(1) the right to repossession of the goods, upon breach of a term of the hire agreement, which exists until the hirer after payment of all hire rentals due under the agreement, purchases the same by exercising his right under the option clause and (2) the owner’s right to the hire rentals due under the hire purchase agreement for any period which the hirer in fact made use of the goods-which must always be considered separately’- Idigbe J.S.C

 


CASES CITED


Brooks v. Beirnstein [1909] 1 K.B. 98
South Bedfordshire Electrical Finance Ltd. v. Bryant [1938] 3 All .E.R. 580

 


STATUTES REFERRED TO



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