Sale of Contract between Robert and Donald-Free-Samples for Students

Question: Donald bought a car from Robert and used it for four months before discovering that it had been stolen. Donald then had to hand over the car to the true owner. Advise Donald whether he could recover the full amount he had paid from Robert even though he had used the car for four months. Answer: As observed from the case scenario, Donald had purchased a car from Robert that was said to be stolen. Thereafter, Donald had still used the car for four months and then he realized that the car that he purchased was stolen. Donald had invested his money in the car for purchasing it from Robert (Moyle 2017). Therefore, the issue in this case is whether Donald can recover the full amount that he had paid to Robert for purchasing the car. As per the Sale of Contract, it can be stated that Robert and Donald did not establish any sale of contract. It was a stolen property that Robert had sold to Donald. When the car was purchased by Donald from Robert, no consideration existed between the parties and hence Donald had paid an amount for the car. According to the law, it can be observed and explained that when there is no consideration involved in a contract, it will be treated as invalid (Booysen 2016). A contract to sell is referred to as a formal agreement where an individual or a company can agree to sell something to a buyer during a time in the future especially when the buyer agrees on buying it. A conditional contract is quite equal to a normal contract to sell except that the contract is subjected to the accomplishment of a few specific conditions. Therefore, another significant element that needs to be present in the formation of a contract. In a contract of sale, the seller must transfer the ownership over goods to the buyer. Hence, an agreement to transfer the ownership by the seller to the buyer needs to be formed. For instance, X has agreed to purchase a car from Y an agent for a consideration of money. X paid the amount to Y and got the car registered in his name. Thus, over here, a valid contract was formed. However, it can be stated that for a sale of contract to be valid, registration of the goods must be registered under the contract and ownership needs to be transferred. The price of the goods is treated to be the consideration for contract of sale that should be in monetary terms (Berlingher 2017). Thus, if the ownership of the goods are transferred for any kind of consideration other than the money will not be considered to be a sale but an exchange (Lim 2016). It can be advised that Donald can ask for repayment and recover for the damages he has faced as per the rule of law. Even though he had used the car for four months, the ownership of the car was transferred to him based on a monetary consideration. Therefore, Donald can claim for the money that he had purchased from Robert for buying the car. He can claim for such compensation because there existed a consideration between the buyer and the seller. Therefore, Robert is bound to pay Donald the full amount as per the Sale of Contract References: Berlingher, D., 2017. The Effects of the International Contract for Sale of Goods.Journal of Legal Studies,19(33), pp.96-109. Booysen, S., 2016. Twenty Years (and More) of Controlling Unfair Contract Terms in Singapore.Sing. J. Legal Stud., p.219. Lim, P., 2016.Contract Administration and Procurement in the Singapore Construction Industry. World Scientific Publishing Company. Moyle, J.B., 2017.The contract of sale in the civil law. .