Pilcher v Rawlins

(1872) LR 7 Ch App 259

Ratio Decidendi

A bona fide purchaser for value of the legal estate without notice of a prior equitable interest takes free from that interest. This defence—equity's darling—is a complete answer to equitable claims.

Fakty

Trustees lent trust money on mortgage. The mortgagor subsequently mortgaged the property to Rawlins, who had no notice of the trust.

Podsumowanie orzeczenia

James LJ held that Rawlins, as a bona fide purchaser for value without notice, took free of the trust interest.

Kluczowe cytaty

"The plea of a purchaser for valuable consideration without notice is an absolute, unqualified, unanswerable defence."
— James LJ

Późniejsze zastosowanie

Good law

Definitive statement of the bona fide purchaser doctrine.