12. (1) This section applies to goods in the possession or under the control of a bailee where -
(2) In the cases in Part I of Schedule I to this Act a bailee may, for the purposes of subsection (1), impose an obligation on the bailor to take delivery of the goods, or as the case may be to give directions as to their delivery, and in those cases the said Part I sets out the method of notification.
(3) If the bailee -
(4) Where subsection (3) applies but the bailor did not in fact own the goods, a sale under this section, or under section 13, shall not give a good title as against the owner, or as against a person claiming under the owner.
(5) A bailee exercising his powers under subsection (3) shall be liable to account to the bailor for the proceeds of sale, less any costs of sale, and -
(6) A sale duly made under this section gives a good title to the purchaser as against the bailor.
(7) In this section, section 13, and Schedule 1 to this Act,
(8) This section, and Schedule 1 to this Act, have effect subject to the terms of the bailment.
(9) This section shall not apply where the goods were bailed before the commencement of this Act.
Power To Impose Obligation To Collect Goods
1. (1) For the purposes of section 12(1) a bailee may, in the circumstances specified in this Part of this Schedule, by notice given to the bailor impose on him an obligation to take delivery of the goods.
(2) The notice shall be in writing, and may be given either -
(3) The notice shall -
(4) Where the notice is sent by post it may be combined with a notice under Part II of this Schedule if the notice is sent by post in a way complying with paragraph 6(4).
(5) References in this Part of this Schedule to taking delivery of the goods include, where the terms of the bailment admit, references to giving directions as to their delivery.
(6) This Part of this Schedule is without prejudice to the provisions of any contract requiring the bailor to take delivery of the goods.
Goods accepted for repair or other treatment
2. If a bailee has accepted goods for repair or other treatment on the terms (expressed or implied) that they will be re-delivered to the bailor when the repair or other treatment has been carried out, the notice may be given at any time after the repair or other treatment has been carried out.
Goods accepted for valuation or appraisal
3. If a bailee has accepted goods in order to value or appraise them, the notice may be given at any time after the bailee has carried out the valuation or appraisal.
Storage, warehousing, etc
4. (1) If a bailee is in possession of goods which he has held as custodian, and his obligation as custodian has come to an end, the notice may be given at any time after the ending of the obligation, or may be combined with any notice terminating his obligation as custodian.
(2) This paragraph shall not apply to goods held by a person as mercantile agent, that is to say by a person having in the customary course of his business as a mercantile agent authority either to sell goods or to consign goods for the purpose of sale, or to buy goods, or to raise money on the security of goods.
5. Paragraphs 2, 3 and 4 apply whether or not the bailor has paid any amount due to the bailee in respect of the goods, and whether or not the bailment is for reward, or in the course of business, or gratuitous.
Notece Of Intention To Sell Goods
6. (1) A notice under section 12(3) shall -
(2) The period between giving of the notice and the date specified in the notice as that on or after which the bailee proposes to exercise the power of sale shall be such as will afford the bailor a reasonable opportunity of taking delivery of the goods.
(3) If any amount is payable in respect of the goods by the bailor to the bailee, and became due before giving of the notice, the said period shall be not less than three months.
(4) The notice shall be in writing and shall be sent by post in a registered letter, or by the recorded delivery service.
7. (1) The bailee shall not give a notice under section 12(3), or exercise his right to sell the goods pursuant to such a notice, at a time when he has notice that, because of a dispute concerning the goods, the bailor is questioning or refusing to pay all or any part of what the bailee claims to be due to him in respect of the goods.
(2) This paragraph shall be left out of account in determining under section 13(1) whether a bailee of goods is entitled to sell the goods under section 12, or would be so entitled if he had given any notice required in accordance with this Schedule.
8. For the purposes of this Schedule, and of section 26 of the Interpretation Act 1889 in its application to this Schedule, the proper address of the person to whom a notice is to be given shall be -
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