Yahaya bought a piece of furniture on a credit sale agreement from Ahmed and resold it to Ali before all installments were made. The court upheld that Ahmed could not recover possession of the items from Ali. The reason for the judgment was because
A. ownership was transferred on completion of installment
B. ownership was transferred on delivery
C. Yahaya could not pass title to a third party
D. Ali was still indebted to Yahaya
Correct Answer:
Option B – ownership was transferred on delivery
Explanation
Ahmed lost ownership of the property the moment he transferred ownership to Yahaya whether he was fully compensated or not.
