This document restates the rules in Article 1819 regarding the passage of title in property transactions involving partnerships. It outlines 5 scenarios based on who sells the property (partner, partnership, etc.) and summarizes whether title or equitable title passes to the buyer and under what circumstances the seller or buyer could recover. The qualifications are based on whether the conveyance was usual or unauthorized and if the buyer had knowledge of any lack of authority.
This document restates the rules in Article 1819 regarding the passage of title in property transactions involving partnerships. It outlines 5 scenarios based on who sells the property (partner, partnership, etc.) and summarizes whether title or equitable title passes to the buyer and under what circumstances the seller or buyer could recover. The qualifications are based on whether the conveyance was usual or unauthorized and if the buyer had knowledge of any lack of authority.
This document restates the rules in Article 1819 regarding the passage of title in property transactions involving partnerships. It outlines 5 scenarios based on who sells the property (partner, partnership, etc.) and summarizes whether title or equitable title passes to the buyer and under what circumstances the seller or buyer could recover. The qualifications are based on whether the conveyance was usual or unauthorized and if the buyer had knowledge of any lack of authority.
Partnership. Partnership (by a Title passes to buyer. RECOVERY NO RECOVERY partner on behalf If conveyance is not If the conveyance is and in the name of usual. usual. the partnership). If usual but If the buyer has unauthorized and sold the property to I the buyer had a third person in knowledge of the good faith and for lack of authority of value. the partner who sold the property. Partnership. Partner. Only equitable title NO EQUITABLE EQUITABLE TITLE passes to buyer. TITLE Only if the If the conveyance conveyance is is not usual. usual. If usual but II unauthorized and the buyer had knowledge of the lack of authority of the partner who sold the property. One or more but Partner in whose Title passes to buyer. RECOVERY NO RECOVERY not all of the name the title If conveyance is not If the conveyance is partners. stands. usual. usual. If usual but If the buyer has unauthorized and sold the property to III the buyer had a third person in knowledge of the good faith and for lack of authority of value. the partner who sold the property. One, or more, or all Partnership or Only equitable title NO EQUITABLE EQUITABLE TITLE partners, or a third partner. passes to buyer. TITLE person in trust for Only if the If the conveyance the partnership. conveyance is is not usual. usual. If usual but IV unauthorized and the buyer had knowledge of the lack of authority of the partner who sold the property. All partners. All partners. Title passes to buyer. There can be no recovery since conveyance passes all the rights of the partners to the V property because all partners gave their consent.