- Agent's duties and liabilities — Legal relations between principal and third party — Limitation of liability — Conformity of goods — Third party property rights and obligations of the seller
This chapter explicates third-party property rights. A general principle of sales law indicates that the seller is liable to the buyer when delivering goods not free from third-party rights. Sellers can only escape liability when the buyer is aware of the encumbrance with third-party rights. Meanwhile, the rules on third-party rights in terms of non-conformity always relate to the physical properties of the goods. Legal systems differ with the legal regime applied to goods encumbered with third-party property rights. The circumstances in which third-party rights may affect the goods can be categorized into three groups: ownership rights, third party encumbered with goods, and the impact of public law.
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