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Restriction on right of owner to recover possession of goods otherwise than by proceedings.
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64.—(1) Subject to subsection (3), where goods have been let under a hire-purchase agreement and one-third of the hire-purchase price has been paid or tendered by or on behalf of the hirer or any guarantor, the owner shall not enforce any right to recover possession of the goods from the hirer otherwise than by legal proceedings.
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(2) If an owner recovers possession of goods in contravention of subsection (1), the hire-purchase agreement, if not previously determined, shall determine, and—
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(a) the hirer shall be released from all liability under the agreement, and shall be entitled to recover from the owner all sums paid by the hirer under the agreement or under any security given by him in respect thereof, and
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(b) any guarantor shall be entitled to recover from the owner in an action all sums paid by him under the contract of guarantee or under any security given by him in respect thereof.
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(3) Where the owner of a motor vehicle let under a hire-purchase agreement has commenced legal proceedings to recover possession of the vehicle from the hirer and it has been abandoned or left unattended in circumstances which have resulted or are likely to result in damage to the vehicle, the owner shall be entitled to enforce a right to recover possession of the vehicle and to retain possession thereof pending the outcome of the proceedings.
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(4) If a hirer refuses to give up possession of goods to an owner whose right to recover possession is restricted by subsection (1), the hirer shall not be liable, by reason only of the refusal, for conversion of the goods.
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(5) In this section a reference to the hire-purchase price includes any installation charge provided for in the hire-purchase agreement.
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