Doe purchased a vehicle from Jones for $1,000.Unknown to Doe,Jones had used the vehicle as security for a loan from his bank,and the bank had registered its security in the vehicle under the provincial personal property security registration legislation.A few months after the sale,Jones defaulted on his loan,and the bank discovered that Doe was in possession of the vehicle.Which of the following are true?
A) The bank is not entitled to seize the vehicle because it had not given Doe notice of its claim against the vehicle before Doe purchased it.
B) The bank is not entitled to seize the vehicle because Jones had not given notice to Doe of the bank's claim against the vehicle before Doe purchased it.
C) Doe has a good title to the vehicle because he purchased it as a bona fide purchaser,for value,without notice.
D) Jones is liable to Doe for breach of implied condition of title should the bank seize the automobile.
E) Jones is liable to Doe for breach of implied warranty of title should the bank seize the automobile.
Correct Answer:
Verified
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