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BGH ruling on bona fide acquisition when buying a used car

October 24, 2022 /

Buying a used car can be a tricky legal matter. If a buyer purchases a vehicle from a fraudster who later turns out not to be the rightful owner, the conflict over ownership rights can become complicated. In a recent case, the BGH has strengthened the legal position of the buyer.

The case

The plaintiff was an Italian trading company that sells vehicles in Italy. In 2019, it purchased a vehicle from a German car dealership with the help of an intermediary. After paying for the car at the German dealership, the intermediary collected the vehicle and delivered it to the plaintiff in Italy. However, the car dealership never owned the used car, as it was only leased. The owner of the vehicle was therefore the leasing company, which was also in possession of the registration certificate part II.

The burden of proof and presentation

According to established BGH case law, the presentation of the registration certificate part II is one of the minimum requirements for the acquisition of a used car in good faith. In the event that the original owner does not recognize good faith, the purchaser has a secondary burden of proof. He must provide plausible evidence that he has checked the registration certificate part II. The purchaser must therefore only prove the acquisition requirements within the meaning of §929 BGB, but not the good faith. The proof that this information is not correct and thatthere is no good faith must be provided by the original owner.

929 BGB: Agreement and handover

1In order to transfer ownership of a movable item, the owner must hand over the item to the purchaser and both parties must agree that ownership is to be transferred.

2If the purchaser is in possession of the item, agreement on the transfer of ownership is sufficient.”

Registration certificate part II

The registration certificate part II, or colloquially the vehicle registration document, is an important part of the proof of ownership of a vehicle. However, a lack of good faith cannot be proven by the failure to hand over the certificate. In principle, it is not unusual for the vehicle registration certificate to be withheld. Here, the plaintiff refers to its purchase contract, in which the procedure was expressly agreed to ensure that the “confirmation of receipt” is sent by the plaintiff. The entry certificate serves as proof of VAT exemption for intra-Community deliveries. If a forged certificate is submitted, which appears deceptively genuine, the plaintiff has no further obligation to investigate.

The judgment

The OLG was convinced that the plaintiff had sufficiently demonstrated that the requirements of Section 929 BGB and the examination of the certificate had been implemented. The original owner could not prove that these requirements were not met.The action was therefore upheld and the plaintiff is entitled to the return of the registration certificate part II. Furthermore, a criminal investigation is underway against the managing director of the German car dealership on suspicion of fraud in over 100 cases.

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