8.2-403 - Power to transfer; good faith purchase of goods; "entrusting.".
§ 8.2-403. Power to transfer; good faith purchase of goods; "entrusting.".
(1) A purchaser of goods acquires all title which his transferor had or hadpower to transfer except that a purchaser of a limited interest acquiresrights only to the extent of the interest purchased. A person with voidabletitle has power to transfer a good title to a good faith purchaser for value.When goods have been delivered under a transaction of purchase the purchaserhas such power even though
(a) the transferor was deceived as to the identity of the purchaser, or
(b) the delivery was in exchange for a check which is later dishonored, or
(c) it was agreed that the transaction was to be a "cash sale," or
(d) the delivery was procured through fraud punishable as larcenous under thecriminal law.
(2) Any entrusting of possession of goods to a merchant who deals in goods ofthat kind gives him power to transfer all rights of the entruster to a buyerin ordinary course of business.
(3) "Entrusting" includes any delivery and any acquiescence in retention ofpossession regardless of any condition expressed between the parties to thedelivery or acquiescence and regardless of whether the procurement of theentrusting or the possessor's disposition of the goods have been such as tobe larcenous under the criminal law.
(4) The rights of other purchasers of goods and of lien creditors aregoverned by the titles on secured transactions (Title 8.9A), bulk sales(Title 8.6A) and documents of title (Title 8.7).
(Code 1950, § 6-558; 1964, c. 219; 1997, c. 121.)