MOTOR VEHICLES ACT 1959 - SECT 61

MOTOR VEHICLES ACT 1959 - SECT 61

61—Hire-purchase transactions

        (1)         Where a motor vehicle is registered in the name of a person who takes the vehicle on hire in pursuance of a hire-purchase agreement, the passing of the ownership of the vehicle to that person is not a transfer within the meaning of this Act.

        (2)         Where—

            (a)         an owner has, pursuant to a hire-purchase agreement, repossessed a motor vehicle registered in the name of the person who took the vehicle on hire in pursuance of the agreement; and

            (b)         the hirer has lost any legal right to obtain the return of the vehicle,

section 57 applies in relation to the owner as if—

            (c)         the hirer had transferred the ownership of the vehicle to the owner at the time the right to obtain the return of the vehicle was lost; and

            (d)         the reference to "the transferee" in that section were a reference to "the owner",

and sections 58 and 60 have effect accordingly.

        (4)         Where a hirer of a motor vehicle in whose name the vehicle is registered—

            (a)         returns the vehicle to the owner on termination of the hiring; or

            (b)         if the vehicle is the subject of a hire-purchase agreement, voluntarily returns the vehicle to the owner,

the return will be taken to be a transfer for the purposes of sections 56, 57, 58 and 60.