ADVOKS GLOBAL · KENYA
Hire-Purchase Act
17. Where order for delivery of goods postponed
Edition: 2022-12-31 · In force
17. Where order for delivery of goods postponed
(1)While the operation of an order for the delivery of goods to the owner is postponed under section 16(4)(b), the hirer shall be deemed to be bailee of the goods under and on the terms of the hire-purchase agreement—(i)no further sum shall be or become payable by the hirer or a guarantor on account of the unpaid balance of the hire-purchase price, except in accordance with the terms of the order; andProvided that—(ii)the Court may make such further modifications of the terms of the hire-purchase agreement, and of any contract of guarantee relating to it, as to payment as the Court considers necessary having regard to the variation of the terms of payment.(2)If, while the operation of an order for the delivery of the goods to the owner is postponed under section 16(4), the hirer or a guarantor fails to comply with any conditions of the postponement, or with any term of the hire-purchase agreement as modified by the Court, or wrongfully disposes of the goods, the owner shall not take any civil proceedings against the hirer or guarantor otherwise than by making an application to the Court by which the order was made:Provided that, in the case of a breach of any condition relating to the payment of the unpaid balance of the hire-purchase price, it is not necessary for the owner to apply to the court for leave to execute the order unless the Court has so directed.(3)When the unpaid balance of the hire-purchase price has been paid in accordance with the terms of the order, the owner’s title to the goods shall vest in the hirer.(4)The court may at any time during the postponement of the operation of an order for delivery of goods to the owner—(a)vary the conditions of the postponement, and make such further modification of the hire-purchase agreement and of any contract of guarantee relating to it as the Court considers necessary having regard to the variation of the conditions of the postponement;(b)revoke the postponement;(c)make an order under section 16(4)(c) for the delivery of a part of the goods to the owner and for the transfer to the hirer of the owner’s title to the remainder of the goods.