Disclaimer: This work was produced by one of our expert legal writers, as a learning aid to help law students with their studies.

Any opinions, findings, conclusions, or recommendations expressed in this material are those of the authors and do not reflect the views of LawTeacher.net. Any information contained in this case summary does not constitute legal advice and should be treated as educational content only.

Shogun Finance Ltd v Hudson [2003] UKHL 62

307 words (1 pages) Case Summary

1st Oct 2021 Case Summary Reference this In-house law team

Jurisdiction / Tag(s): UK Law

Legal Case Summary

Shogun Finance Ltd v Hudson [2003] UKHL 62

Contract – Hire-Purchase agreement – Title to goods


A car dealer sold a car to a fraudster, who produced a stolen license as his own. The dealer wrote out the hire-purchase contract in the name written on the license. The fraudster took physical possession of the car. The Defendant purchased the car from the fraudster in good faith. Upon discovery of the dishonoured payment by the fraudster and failure to make payments under the hire purchase agreement, Shogun Finance brought action against Hudson for conversion. Hudson counterclaimed, claiming to have obtained the right title of the vehicle.


Whether the vehicle was in the fraudster’s possession as a debtor. Whether possessory title passed to the innocent purchaser and whether the contract was void.


The court dismissed the Defendant’s appeal. Under section 21(1) of the Sale of Goods Act 1979, the title of the vehicle has been Shogun’s as there had been no consideration on Shogun’s part for the vehicle, as the vehicle was subject to the terms of the hire purchase agreement. Thus, Hudson could not have acquired a title from the fraudster as he never owned the vehicle. The hire purchase agreement was not between the fraudster and Shogun, as the name on the agreement was that of the stolen license which was a fraudulent identity. Therefore, as there was no agreement or hire purchase between Shogun and the fraudster, the fraudster could not have passed a possessive title to Hudson, as he never had one. Hudson was required to return the car to Shogun.

Cite This Work

To export a reference to this article please select a referencing stye below:

Reference Copied to Clipboard.
Reference Copied to Clipboard.
Reference Copied to Clipboard.
Reference Copied to Clipboard.
Reference Copied to Clipboard.
Reference Copied to Clipboard.
Reference Copied to Clipboard.

Related Services

View all

Related Content

Jurisdictions / Tags

Content relating to: "UK Law"

UK law covers the laws and legislation of England, Wales, Northern Ireland and Scotland. Essays, case summaries, problem questions and dissertations here are relevant to law students from the United Kingdom and Great Britain, as well as students wishing to learn more about the UK legal system from overseas.

Related Articles