Chattels Transfer Act 1924

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"chattels" means any personal property that can be completely transferred by delivery, and includes machinery, stock and the natural increase of stock as hereinafter mentioned, crops and also includes book debts but does not include –

(a) Chattel interests in real estate, title deeds, choses in action (not being book debts), negotiable instruments; or

(b) Shares and interests in the stock, funds, or securities of any Government or local authority; or

(d) Debentures and interest coupons issued by any Government, or local authority, or other corporate body;

"crops" means European flax, hemp, hops, wheat, maize, barley, oats, and grass (whether for hay or for grain), and all cereal and root crops, Phormium tenax, fruit and all other crops grown above or below the ground;
"executed" means signed by the grantor or his attorney, and, in the case of an instrument by way of bailment, means signed by the grantor and grantee or their respective attorneys;

"factory" or "workshop" means any premises on which any manual labour is exercised by way of trade or for the purposes of gain or in or about the making, altering, repairing, ornamenting, finishing, or adapting for sale of any article or part of any article;

"grantee" means the party to an instrument to whom chattels in it referred to, or any interest in it, are thereby granted or assigned, or agreed so to be, and includes his executors, administrators, and assigns; and in the case of a company or corporation includes the successors and assigns of such company or corporation;

"grantor" means the party to an instrument who thereby grants or assigns, or agrees to grant or assign, chattels referred to in it, or any interest in it, and includes his executors, administrators, and assigns; and in the case of a company or corporation includes the successors and assigns of such company or corporation;

"instrument" means and includes any bill of sale, mortgage lien, or any other document that transfers or purports to transfer the property in or right to the possession of chattels, whether permanently or temporarily, whether absolutely or conditionally, and whether by way of sale, security, pledge, gift, settlement, bailment, or lease, and also the following:

(e) Powers of attorney, authorities, or licences to take possession of chattels as security for any debt;

(f) Any agreement, whether intended to be followed by the execution of any other instrument or not, by which a right in equity to any chattels, or to any charge or security on it or over it, is conferred;

(a) Securities over, or bailments or leases of, fixtures (except "trade machinery" as hereinafter defined), when mortgaged or leased in any mortgage or lease of any freehold or leasehold interest in any land or buildings to which they are affixed, and whether or not such fixtures are separately mortgaged or leased by mention thereof in separate words, and whether or not power is given by such mortgage or lease to sever such fixtures from the land or building to which they are affixed without otherwise taking possession of or dealing with such land or building;

(e) Transfers of chattels in the ordinary course of business of any trade or calling;

(f) Debentures and interest coupons issued by any Government or local authority;

(h) Bills of lading, warehouse keepers’ certificates, warrants, or orders for the delivery of chattels, entries in auctioneers’ books, or any other document used in the ordinary course of business as proof of the possession or control of chattels, or authorising or purporting to authorise, either by endorsement or delivery, the possessor of such document to transfer or receive the chattels thereby represented;

(i) Debentures and interest coupons issued by any company or other corporate body and secured upon the capital stock or chattels of such company or other corporate body;

(k) Customary hire purchase agreements as defined in this Act; "instrument by way of bailment" means an instrument whereby chattels are leased or bailed; "instrument by way of security" means an instrument given to secure the payment of money or the performance of some obligation;

"Registrar" means the Registrar of the High Court and includes a Deputy Registrar (if any);

"registration" means the filing of an instrument with schedule or inventories, or a true copy of it, with the certificate hereinafter mentioned;

"stock" includes any sheep, cattle, horses, pigs, poultry, ostriches, and any other living animals;

"trade machinery" means the machinery used in or attached to any factory or workshop, but does not include –

(a) The fixed motive powers, such as the water wheels, and steam and other engines, and the steam boilers, donkey engines, and other fixed appurtenances of the said motive powers; or

(b) The fixed power machinery (such as the shafts, wheels, drums, and their fixed appurtenances) for transmitting the action of the motive powers to the other machinery, fixed and loose; or

(1) (a) An attornment or agreement (not being a mining lease) whereby a power of distress is given or agreed to be given by one person to another by way of security for any present, future, or contingent debt or advance, and whereby any rent is reserved or made payable as a means of providing for the payment of interest on such debt or advance, or otherwise for the purpose of such security only, shall be deemed to be an instrument within the meaning of this Act so far as regards any chattels seized or taken under the power of distress.

(b) Nothing in this subsection shall prejudice the right of a landlord to distrain for rent.

(c) Where a mortgagee of any interest in land, after entering (under the powers contained or implied in the mortgage) into possession of the mortgaged land, or into receipt of the rents and profits of the land, demises the land or any part of it to the mortgagor at a fair and reasonable rent, the instrument whereby such demise is effected shall not be deemed to be an instrument within the meaning of this Act.

(2) Machinery and plant used in milking, and machinery and plant used for shearing, shall not by reason of being attached to buildings or land become part of the land, nor shall any estate or interest therein pass by virtue of such attachment.

(1) (a) Save as provided in subsection (3) all persons shall be deemed to have notice of an instrument and of its contents when and so soon as such instrument has been registered.

(b) If registration of such instrument is not renewed under this Act, prior registration shall not be deemed to operate as notice after the lapse of the period within which renewal is required by this Act.

(3) Registration of any instrument to which subsection (1) or (2) applies shall not in itself constitute notice of the existence of that instrument or of its contents to the grantee of any prior registered instrument relating to the same chattels or to any of those chattels.

(1) Registration of an instrument shall be effected by filing it and all schedules endorsed on it or referred to in it, or a true copy of the instrument and schedules and a certificate in the form numbered 1 in Schedule 1, with the Registrar of the High Court.

(3) Every person commits an offence and is liable on summary conviction to a fine not exceeding 1 penalty unit who wilfully or negligently signs any certificate in the form numbered 1 in Schedule 1 or to the like effect in respect of any instrument if the certificate is false in a material respect.

Where an instrument is made by any person under or in execution of any process of court, the certificate to be filed on registration shall state the residence and occupation of the person against whom such process is issued.

An affidavit required by this Act may be sworn before any solicitor of the High Court, or a Registrar, or any Justice.

(1) The period within which an instrument may be registered is 21 days from the day on which it was executed.

(2) If there are more grantors than one, the date of execution of the instrument shall be deemed to be the date of the execution by the grantor who first executes the instrument.

(3) The day on which the instrument is executed shall not be included in the period for registration; but the instrument may be registered on that day.

(1) The Registrar shall cause every instrument registered in his office to be numbered, and shall mark on each such instrument, or on the filed copy of it, the date of registration and the number, and shall at the time of registration enter in a register to be kept for the purpose of his office the particulars of the instrument registered under the form numbered 2 in Schedule 1.

(2) The Registrar shall also keep an index in which he shall enter the names of the grantors of instruments by way of security and of the grantors and grantees of all other instruments, and shall refer in it to the entries in the register book of the instruments given by each such grantor.

(3) Such index shall be arranged in divisions corresponding with the letters of the alphabet, so that all grantors and grantees whose surnames begin with the same letter (and no others) shall be comprised in one division, but the arrangement within each such division need not be strictly alphabetical.

Where any instrument is made or given by any person under or in the execution of any process of court, then the name, residence, and occupation of the person against whom such process issued, and also the name of the grantee of it, shall be inserted in the book to be kept as aforesaid.

(1) The registration of an instrument shall cease to be of any effect at the expiration of 5 years from the date of the registration or, where the registration has been renewed under this section, at the expiration of 5 years from the date of the renewal of the registration or of the last renewal of the registration, as the case may be.

(3) The registration of an instrument shall be renewed by filing in the office of the Registrar an affidavit in the form numbered 3 in Schedule 1 or to the like effect.

(4) The Registrar shall thereupon number such affidavit as if the same were an instrument presented for registration, and renumber the instrument originally registered in the said office, or the filed copy of it, with a similar number, and mark thereon the date of renewal of registration, and shall enter particulars of the instrument in the register book in like manner as on an original registration, and shall also enter the date of renewal of registration in the column provided therefor in the register book.

The register books and indices hereinbefore provided for, and every instrument registered as aforesaid, or the filed copy of it, may be searched and viewed by all persons during the office hours of the High Court.

Any person shall be entitled to have a copy or an extract of or from any instrument with the schedules filed therewith, or of or from the copy of it registered as aforesaid, and a copy of any affidavit filed under this Act; or if he makes such copy or extract himself the Registrar shall, upon satisfying himself that such copy or extract is correctly made, certify the same.

(1) Every instrument registered and certificate or affidavit filed shall, if purporting to be duly executed or sworn, be prima facie presumed to have been duly executed or sworn.

(2) The filed copy of any instrument, and of the schedules filed therewith, or an office copy of any such filed copy, and an office copy of any affidavit or certificate filed under this Act, and every copy or extract certified by the Registrar under Section 16, and a certificate by the Registrar of the time when any instrument, affidavit, or certificate was registered or filed, shall in all courts and before all persons having by law or consent of parties authority to take evidence be received as prima facie evidence of such instrument, schedules, affidavit, or certificate and of the signatures of the parties to the instrument and of the attesting witnesses thereto, and of the fact and time of the registration or filing of the instrument affidavit, or certificate.

(3) It shall not be necessary to prove the handwriting or official position of the person appearing as such Registrar to have certified any such copy or extract or to have given any such certificate.

(1) Every instrument, unless registered in the manner hereinbefore provided, shall, upon the expiration of the time for registration, or if the time for registration is extended by a Judge of the High Court, then upon the expiration of such extended time, be deemed fraudulent and void as against –

(a) The Assignee in Bankruptcy of the estate of the person whose chattels or any of them are comprised in any such instrument;

(b) The assignee or trustee acting under any assignment for the benefit of the creditors of such person;

(c) Any sheriff, bailiff, and other person seizing the chattels or any part thereof comprised in any such instrument, in execution of the process of any Court authorising the seizure of the chattels of the person by whom or concerning whose chattels such instrument was made, and against every person on whose behalf such process was issued –

so far as regards the property in or right to the possession of any chattels comprised in or affected by the instrument which, at or after the time of such bankruptcy, or of the execution by the grantor of such assignment for the benefit of his creditors, or of the execution of such process (as the case may be), and after the expiration of the period within which the instrument is required to be registered, are in the possession or apparent possession of the person making or giving the instrument, or of any person against whom the process was issued under or in the execution of which the instrument was made or given.

Upon the expiration of the time or extended time for registration no unregistered instrument comprising any chattels whatsoever shall, without express notice, be valid and effectual as against any bona fide purchaser or mortgagee for valuable consideration, or as against any person bona fide selling or dealing with such chattels as auctioneer or dealer or agent in the ordinary course of his business.

Sealing shall not be essential to the validity of any instrument; but every execution of an instrument shall be attested by at least one witness, who shall add to his signature his residence and occupation.

Every instrument shall be deemed to be made on the day on which it is executed, and shall take effect from the time of its execution.

(1) Where 2 or more instruments are executed comprising in whole or in part any of the same chattels, priority shall be given to such instrument or instruments in the order of time of their registration respectively as regards the title to or right to the possession of such chattels.

(2) Where a grantee under a second or subsequent instrument claims priority by virtue of prior registration he must prove that at the time of the execution of the instrument under which he claims he had no notice of any existing unregistered instrument.

Every instrument shall contain, or shall have endorsed on it or annexed to it, a schedule of the chattels comprised in and, save as is otherwise expressly provided by this Act, shall give a good title only to the chattels described in the said schedule, and shall be void to the extent and as against the persons mentioned in sections 18 and 19 in respect of any chattels not so described.

(1) Save as is otherwise expressly provided by this Act, an instrument shall be void to the extent and as against the persons mentioned in section 18 and 19 in respect of any chattels which the grantor acquires or becomes entitled to after the time of the execution of the instrument.

(2) Where an instrument by way of security over any chattels is therein expressed to be given as security for a loan to be expended, in whole or in part, in the purchase of those chattels, the grantor shall be deemed to have acquired the said chattels contemporaneously with the execution of this instrument.

(1) If an instrument is made or given subject to any defeasance, condition or declaration of trust not contained in the body of the instrument, such defeasance, condition, or declaration of trust shall for the purposes of this Act be taken as part of such instrument, and shall be written on the same paper or parchment on which such instrument is written, otherwise such instrument shall be void to the extent and as against the persons mentioned in section 18 so far as regards the property in or right to the possession of any chattels comprised in or affected by such instrument.

(2) In the case of a document securing the payment of the moneys or any part of it payable by virtue of an instrument it shall not be necessary for the purposes of this section to write such document on the same paper or parchment so long as the date, names of the parties to it, and the nature of the security are set forth in the instrument or in some schedule to it.

Nothing in sections 23-25 shall render an instrument void in respect of the following chattels, that is to say –

(b) Fixtures, plant, or trade machinery where the same are used in, attached to, or brought upon any place in substitution for any of the like nature described in, or in the schedule to, such instrument;

(c) Tractors, engines, machines, vehicles, implements and farming plant of every description described in such instrument and used upon or in connection with any land or premises specified in the instrument.

In any instrument they shall be described or referred to therein or in the schedule by some brand or brands, earmark or earmarks, or other mark or marks upon them, or shall be so described or referred to by sex, age, name, colour, or other mode of description as to be reasonably capable of identification, otherwise the instrument shall be void to the extent and as against the persons mentioned in section 18, so far a regards such or so much of such stock as are not so described or referred to or are not reasonably capable of identification; and the land or premises on which such stock are or are intended to be depastured or kept shall be described or mentioned in such instrument or schedule.

An instrument comprising stock shall, unless the contrary be expressed therein, be deemed to include not only the stock comprised therein as provided by section 28, but also the natural increase of such stock, and all stock of the class or classes described in the instrument, the property of the grantor, branded, earmarked, or marked as specified in the instrument, or which the grantor has covenanted or agreed by such instrument to so brand, earmark, or mark, and which after the execution of such instrument are depasturing or are at, in, or upon any lands or premises mentioned in such instrument or in the schedule to it, on any land and premises used and worked as part of the first-mentioned land and premises, whether or not such stock be removed therefrom. The grantee shall have the same legal property and right in all stock which by force of this section are deemed to be included in the instrument as he has in the stock described in the instrument or in the schedule to it.

Where the stock comprised in an instrument is poultry or ostriches, or other stock which cannot be properly the subject of distinctive marking –

(b) Section 29 shall apply, but modified by omitting therefrom, after the words "be deemed to include", the words "not only the stock comprised therein as provided by the last preceding section, but also"; and by further omitting after the words "the property of the grantor", the words "branded, earmarked, or marked as specified in the instrument, or which the grantor has covenanted or agreed by such instrument to so brand, earmark, or mark, and".

(1) For the purposes of this Act book debts shall be deemed to be chattels, and shall be deemed to be situate in the place where the grantor of the instrument comprising them longest resided or carried on business during the period of 6 months next before the execution of the instrument.

(2) For the purposes of any instrument comprising book debts each debt shall be deemed to be a separate chattel, and shall be described by setting forth the amount of the debt and the name of the debtor or firm of debtors so far as is reasonably necessary to show by whom the debt is owing.

(3) For the purposes of this Act "book debts" means debts owing to any person in the course of his trade or business, but does not include any debt secured or charged on land, or any debt owing to any person for or in respect of any milk, cream, or butterfat supplied by him to any butter factory, cheese factory, condensed milk factory, or milk powder factory.

(1) Every instrument by way of security may be in the form numbered 4 in Schedule 1 or to the like effect, with such variations or modifications and additions to it as are expressed in the instrument.

(2) An instrument by way of security securing an account current continues in full force and effect notwithstanding that the grantor may be in credit on such account.

Where an instrument by way of security is executed after the execution of a prior instrument which has never been registered, and comprises all or any of the chattels comprised in such prior instrument, then if such subsequent instrument is given as a security for the same debt as is secured by the prior instrument, or for any part of such debt, it shall, to the extent to which it is a security for the same debt or part thereof, and so far as respects the chattels comprised in the prior instrument, be void to the extent and as against the persons mentioned in section 18 unless it is proved to the court having cognisance of the case that the subsequent instrument was bona fide given for the purpose of correcting some material error in the prior instrument, and not for the purpose of evading this Act.

An instrument by way of security may be granted over the crops described or referred to in it or in the schedule in to it then actually sown or growing, or to be sown or grown in or upon the lands mentioned in the instrument, and shall entitle the grantee of it to the whole of the crops in it mentioned, not only while growing, but afterwards when cut or separated from the soil, and whether stacked or stored on the land where the same were grown on or on any other land or premises.

No such instrument shall avail to give security over any crops (other than Phormium tenax) that cannot in the ordinary course of husbandry be harvested and taken off such land within one year from the date of the execution of the instrument.

(1) No such instrument shall prejudicially affect the rights of any landlord or mortgagee of any land whereon the said crops are growing, unless and so far as the landlord or mortgagee has consented in writing to such instrument.

(2) No such instrument being duly registered shall be extinguished or prejudicially affected by any subsequent sale, lease, mortgage, or other encumbrance of or upon the land described or referred to in the instrument or in any schedule thereto.

(1) In the case of an instrument by way of security, upon the production to the Registrar of a memorandum of satisfaction in the form numbered 5 in Schedule 1 or to the like effect, signed by the grantee of it or his attorney, discharging the chattels comprised in such instrument or any specified part of it from the moneys secured thereby or any specified part thereof, or from the performance of the obligation thereby secured or any specified part of it, and on production of such instrument the Registrar shall file such memorandum and make an entry thereof in the register book on the page where the instrument is registered.

(2) (a)The execution of such memorandum shall be attested by at least one witness, who shall add to his signature his residence and occupation, and shall be verified by the affidavit of that witness.

(i) the witness is the Registrar, a notary public, a Justice of the Peace, Postmaster, or a solicitor of the High Court, resident in Niue; or

(ii) the grantee is a corporation and the memorandum is executed by the corporation affixing its common seal or its official seal for use in Niue.

(3) The Registrar may dispense with the production of the instrument on proof by affidavit to his satisfaction that the instrument has been destroyed, cannot be found, or cannot be produced.

From and after the filing of any such memorandum the debt or charge created by the instrument shall be vacated to the extent specified in the memorandum, and the interest of the grantee in the chattels expressed to be discharged shall vest in the person for the time being entitled to the equity of redemption but so far only as such interest is expressed by the memorandum to be determined, and subject to any lien or equity affecting the chattels.

A Judge of the High Court may, upon application made to him for that purpose, order a memorandum of satisfaction to be filed in respect of any instrument by way of security if it appears to him that the debt (if any) for which such instrument was given as security has been satisfied or discharged, or that the obligation for securing the performance of which the instrument was given has been performed; and thereupon such order may be filed by the Registrar and entered in his book in like manner as if the same were a memorandum within the meaning of section 42.

(1) Where a person is entitled to exercise the power of sale contained or implied in an instrument, that person may apply in writing to the Registrar for the property to be sold.

(2) As soon as practicable after receiving an application under this section the Registrar shall –

(a) Fix a convenient time (being not more than 3 months and not less than one month from the date of the application) and a convenient place for the conduct of the sale; and

(b) Give written notice to any person (including the debtor) whose name and address has been supplied by the applicant, of the time and place at which the sale is to be conducted, and of the redemption price of the property to be sold; and

(d) Approve proper conditions of sale and do all other things necessary for the proper conduct of the sale.

(3) (a) At any time before the sale the debtor may pay to the applicant either the redemption price, or the amount due and owing under the instrument, together with the expenses already incurred by the applicant in connection with the intended sale, and any money expended on or about the property subsequent to the time when the redemption price in the application for sale was fixed, and on such payment the applicant shall do the acts required by clause 10 of Schedule 4.

(b) Where the sum so paid is less than the amount owing under the instrument the balance may be recovered from the debtor under the covenant to repay expressed or implied in the instrument.

(4) The applicant may be a bidder at any such sale, and become the purchaser of the property or any part of it.

(5) In the event of the applicant being the purchaser, the Registrar shall execute a memorandum of conveyance of the property purchased containing a recital that the sale has been made under this section.

(6) In the memorandum the consideration to be stated shall be not less than the redemption price.

(7) Upon the execution of the memorandum by the Registrar, the property shall vest in the applicant in the same manner as if it had been conveyed to a third party purchaser at the sale.

(8) A memorandum of transfer executed by the Registrar upon a sale under this section shall be conclusive proof that the provisions of this Act relating to the sale have been complied with.

(9) If any surplus money arising from the sale of the property cannot be paid to the debtor by reason of his not being found after reasonable inquiry the money shall vest in the Government.

(10) In respect of every application under this section there shall be paid to the Registrar by the applicant, in addition to the reasonable expenses of the sale a fee of $100 which shall accompany the application.

(1) Where legal process issues against the chattels of a judgment debtor for the execution of a judgment of any Court, and the said chattels, or any of them, are comprised in any instrument by way of security, the officer charged with the execution of the process may, in lieu of seizing and selling the chattels so comprised, sell the right, title and interest of the judgment debtor in the same.

(2) The grantee of the instrument, on receiving notice of the purchase of that right, title, and interest, may take possession of the chattels comprised in the instrument.

(3) A grantee so taking possession shall be deemed to hold the chattels in trust for the purchaser of the said right, title, and interest, subject to payment of all moneys due under the instrument.

(4) If the chattels are afterwards sold under the power of sale expressed or implied in the instrument, and any surplus remains out of the proceeds of the sale after payment of all moneys due under the instrument, the grantee shall on demand pay over that surplus to the purchaser of the said right, title and interest.

(5) If the grantee makes default, the purchaser may bring an action against him to recover the surplus, as money received to the use of the purchaser.

Nothing in section 47 shall be deemed to affect the right of an execution creditor to test the validity of any instrument by interpleader process.

There shall be implied in every instrument the covenants for title on the part of the grantor set forth in Schedule 3, and such implied covenants shall have the same effect as if the same were respectively set out at length in the instrument.

There shall be implied in every instrument by way of security the covenants, provisos, agreements, and powers set out in Schedule 4 or such of them as are applicable; and such implied covenants, provisos, agreements, and powers shall, subject to any modification of the same expressed in the instrument, have the same effect as if the same were respectively set out in it at length.

Such of the expressions defined in section 2 or in Schedule 5 as are used in any instrument, or in any of the covenants, provisos, agreements, or powers implied therein by this Act, shall, unless the contrary is expressed in such instrument, or unless manifestly inconsistent with the context, have the meanings given to the same in section 2 or Schedule 5 and such meanings shall be implied in such instrument as fully and effectually as if the same were set out in it.

Where there are 2 or more grantors or 2 or more grantees of any instrument, then any covenants, conditions, provisos, agreements, and powers expressed in such instrument, or implied by this Act, and imposing an obligation on such grantors or grantees, or enuring fore the benefit of such grantors or grantees, shall, except in so far as a contrary intention appears, be deemed to impose such obligation, or confer such benefit as the case may be, severally as well as jointly.

Except in so far as a contrary intention appear, all covenants, conditions, provisos, agreements, and powers expressed in any instrument, or implied therein by this Act, shall bind the executors, administrators, and assigns of the person, or the successors and assigns of a company or corporation, upon whom such covenants, conditions, provisos, agreements, and powers impose an obligation and shall operate for the benefit of the executors, administrators, and assigns of the person, or the successors and assigns of the company or corporation, for whose benefit the same enure.

All or any of the covenants, provisos, conditions, agreements, or powers set forth in Schedules 3, 4 and 5 may be negatived, modified, or altered, or others may be added to them, by express words in the instrument.

Every instrument may be transferred by a document in the form in Schedule 6 or to the like effect, and every transferee, his executors, administrators, and assigns, shall, in respect of the instrument transferred, have the same rights, powers and remedies, and be subject to the same obligations, as the transferor.

Transfers of instruments by way of security may be registered at any time after the execution of it in like manner as instruments are registered; and, in case 2 or more transfers of any one such instrument are executed, a registered transfer shall have priority over an unregistered transfer; and, in case 2 or more transfers or any one such instrument are registered, priority shall be given to such transfers in the order of their time of registration.

(1) A customary hire purchase agreement is a deed or agreement in writing made between the owner of or a dealer in certain chattels and a conditional purchaser of those chattels where –

(a) The owner of or dealer in the chattels is either the manufacturer thereof or a person who is engaged in the trade or business of selling or disposing of chattels of such nature or description;

(b) The deed or agreement provides expressly or impliedly for delivery of possession to the conditional purchaser, but that the property in the chattels shall not pass to the conditional purchaser, or shall only conditionally so pass, until the completion of the payments to be made by him;

(c) The chattels the subject of the deed or agreement are described in Schedule 7 at the time when the agreement is made.

(2) A customary hire purchase agreement may be either an actual contract for sale and purchase or a contract of bailment under which the purchaser has an option of purchase of the chattels defined in the agreement.

(3) A customary hire purchase agreement and any assignment of a customary hire purchase agreement and of the chattels the subject of the agreement, whether absolute or by way of mortgage is valid and effectual for all purposes without registration.

(5) The purchaser or bailee of chattels the subject of a customary hire purchase agreement shall not have any right to sell, deal with, or dispose of such chattels otherwise than as may be specially provided in the agreement; and no sale, dealing, or other disposition purported to be made by such purchaser or bailee shall be effectual to confer title upon any person as against the vendor or bailor named in the customary hire purchase agreement, or against the assigns of such vendor or bailor.

(7) (a) Any chattels which now or hereafter are the subject of a customary hire purchase agreement shall, notwithstanding any rule of law to the contrary, remain and be deemed to have remained in all respects chattels although the same may have been fixed or attached to any land or building, and shall be removable by the vendor or bailor if and when he shall become entitled to possession of the same under the provisions of such customary hire purchase agreement;

(b) Such vendor or bailor shall not be entitled to remove any such chattels fixed to such land or building without first giving to the owner or other person for the time being in possession of the said land one month’s previous notice in writing of his intention to so remove them.

Section 23 shall apply to customary hire purchase agreements as defined in section 57 to the same extent as if such agreements were instruments.

"finance corporation" means a corporate body engaged in financing transactions in relation to purchasers of customary chattels on hire purchase terms or conditional sale.

(2) A finance corporation shall be deemed for all the purposes of section 57 to be a dealer engaged in the trade or business of selling or disposing of customary chattels, and a deed or agreement of hire purchase between a finance corporation and a conditional purchaser of a customary chattel in relation to such customary chattel shall for those purposes be deemed to be a customary hire purchase agreement.

(3) Customary chattels the property of a wholesale dealer in the possession of a retail dealer for the purposes of sale, hire, or demonstration shall not be deemed to be in the order and disposition of the retail dealer with the consent of the true owner thereof within the meaning of any law relating to bankruptcy or insolvency.

(4) An agreement in relation to customary chattels, made between the manufacturer or a wholesaler dealer in such chattels or a finance corporation and a retailer dealer in such chattels, by which possession of the chattels is given to such dealer, shall not be deemed to be a customary hire purchase agreement.

(5) (a) Section 57(5) shall be read subject to section 3 of the Mercantile Law Act 1908.

(b) For the purposes of section 3 of the Mercantile Law Act, a person entitled to the benefit of a customary hire purchase agreement as assignee or mortgagee shall be deemed to be the true owner of any customary chattels the subject of such hire purchase agreement.

Every grantor of an instrument by way of security who, by sale or delivery without the consent of the grantee of any chattels comprised in or affected by such instrument, or by any other means, defrauds or attempts to defraud the grantee of the same or any part thereof, and thus or by any other means directly or indirectly defeats, in validates, or impairs the grantee’s security over the same, and every person who wilfully aids and abets any person in defrauding or attempting to defraud the grantee by defeating, invalidating, or impairing such instrument or in attempting to do so, is liable to 2 years’ imprisonment and to a fine not exceeding 2 penalty units.

Cabinet may make such regulations for the purposes of this Act and may prescribe the fees to be payable under this Act.

This Act binds the Government in respect of all instruments to which the Government is a party.

I, [Full name], of [Place of residence or business], in Niue, [Occupation], hereby certify:

1. That I was present and saw (this instrument*) or (the instrument of which this is a true copy*) or (the instrument of which the paper writing hereto annexed and marked "A" is a true copy*) executed by [Full name, place of residence, and occupation of grantor] (and the other signatures to it†) (by his attorney [Full name of attorney]*) or

(by their respective attorneys [Full names of attorneys]* on the			day of
	20	at

2. That my signature in my proper handwriting appears on the said instrument as that of the witness who attested its execution by the said [Full name of grantor] (and other signatories to it†).

3. That I am aware that I am guilty of an offence if this certificate is false in a
material respect and I give it negligently or knowing it to be false.

†Delete if there are no other signatories. If the instrument is by way of bailment it must be signed by both grantor and grantee or their respective attorneys and this certificate must relate to the execution of the instrument by both parties.

NOTE: Where the grantor is a company or corporation the registered office of the grantor or its principal place of business in Niue should be stated in this form instead of the place of residence of the grantor and it shall not be necessary to state the occupation of such a grantor.

No.	By Whom Given For Against Whom Process Issued			To Whom Given			Nature and Date of Instrument	Date and Time of Registration	Date of Renewal	Satisfaction Entered
No.	Name	Resi- Dence	Occu- Pation	Name	Resi- Dence	Occu- pation	Nature and Date of Instrument	Date and Time of Registration	Date of Renewal	Satisfaction Entered

N.B. in the case of an instrument by way of security it shall not be imperative to state theresidence and occupation of the grantee.

In the High Court of Niue	In the matter of the Chattels
District	Transfer Act 1924

I [Full name of deponent], of [Place of residence or business], in Niue [Occupation], make oath and say as follows"

1. I am the grantee [or grantor, in the case of an instrument by way of bailment) of the instrument registered under the above Act as No. , and made between [State names of parties to instrument, their residences and occupations, as appearing therein; also names of the parties to the instrument, their residences and occupations at the time of the making of the affidavit].
[If the affidavit is made by an agent, clerk, or servant of the grantee or grantor, state such fact, and also state briefly how deponent has become acquainted with the facts deposed to.]

2. The said instrument was registered on the

day of

3. The registration of the said instrument was last renewed on the

day of

[This paragraph is inapplicable where registration of the instrument is being renewed for the first time.]

A.B., of [State residence and occupation], being owner of the chattels mentioned in the schedule hereto [where a schedule is necessary], on consideration of the sum of $
this day lent and advanced to him by C.D., of [State residence and occupation], [Or, if consideration not an advance of money, state any other consideration for which mortgage given], does hereby assign and transfer the same to the said E.F. by way of

mortgage, to secure the payment of the said sum				of $		on the
day of		20	, with interest thereon in the meantime, and so long
as the same or any part thereof remains unpaid, at the rate of $					percent per annum,
by	payments on the		day of the months of		and

In witness whereof A.B. has hereunto subscribed his name, this day of

I, C.D., hereby consent to a memorandum of satisfaction being written upon the instrument [or registered copy of the instrument] given for securing the sum of $,

bearing date the		day of	20	, and made between
and			, and registered on the		day of
20	, the moneys for which such instrument was given as a security having

Dated this	day of 20
		C.D., Grantee [or Assignee].
Witness: E.F. [Residence and occupation]

That the grantor has good right and full power to assign to the grantee the chattels purporting to be hereby assigned, and that free and clear from encumbrances other than such as are herein mentioned.

That the grantor will, at the cost of the grantee [or, if the instrument is by way of security, at the cost, until sale, of the grantor, and thereafter of the person requiring the same], do and execute all such acts, deeds, matters and things for the better assigning the chattels hereby assigned, or intended so to be, as by the grantee [ or other person before mentioned] may from time to time be reasonably required.

1. That the grantor will pay to the grantee the principal money and interest hereby secured, after the rate and at the times herein mentioned, without any deduction whatever.

2. That the grantor will also pay interest on any further advances that may be secured by this instrument, computed from the time of making the same respectively, at the rate and on the dates mentioned for the payment of interest in this instrument.

3. That the grantor will not, at any time while any moneys remain owing on this security, do or allow any act or deed whereby the chattels hereby assigned shall or may become prejudicially affected, and will at all times, while any moneys remain owing on this security, duly pay all rents from time to time coming due in respect of any lands or premises on which any of the chattels hereby assigned are for the time being situated.

4. That the grantor will at all times, while, any moneys remain owing on this security, keep and maintain all and singular the chattels hereby assigned in the lie good order and condition in which they are at the date hereof; and, if any of the same are damaged or destroyed, or cease to exist, will repair such damage, or replace the chattels so destroyed or ceasing to exist, with other chattels of a like nature; and further will, if required so to do by the grantee, execute any instrument that may be necessary to give to the grantee security over chattels replacing the chattels which have been destroyed or have ceased to exist.

5. Provided always, and it is hereby declared and agreed, that until the grantor makes default in the payment of any of the moneys hereby secured, or in the observance or performance of any covenant, condition or agreement herein expressed or implied, and on his part to be observed and performed, or until the grantor becomes bankrupt, or until a judgment of any Court against the grantor has remained unsatisfied for 10 days, the grantor may retain possession and use of the chattels hereby assigned.

6. Provided further that the giving by the grantor to the grantee of any bill of exchange or promissory note for the whole or any part of the money hereby secured shall not, until such bill or note is honoured or met, be considered as payment of or on account of the moneys secured by this instrument, or in any way affect or alter the rights or powers of the grantee by virtue of this instrument; and no promissory note or bill of exchange which before, at, or at any time after the execution of this instrument may be given by the grantor to the grantee for the whole or any portion of the moneys hereby secured, or the remedy thereon of the grantee o of the holder of it, shall merge in the covenants herein expressed or implied.

7. Provided always and it is hereby declared and agreed, that if default is made by the grantor in payment of any of the principal or interest moneys hereby covenanted to be paid on the day on which the same ought to be paid under the terms hereof, or in the observance or performance of any of the covenants, conditions, or agreements herein expressed or implied, and on the grantor’s part to be observed and performed, or if the grantor becomes bankrupt, or if at any time a judgment of any Court against the grantor remains unsatisfied for ten days, then and in such case the grantee, either personally or by his agent or servants, may immediately thereupon or at any time thereafter, without any further consent by the grantor, and without giving to the grantor any notice, or waiting any time, and notwithstanding any subsequent acceptance of any payment of any money due on this security, enter upon any lands or premises whereon the chattels for the time being subject to this security may be, and take possession thereof, and sell and dispose of the same or any part thereof by private sale or public auction, separately or together, in such lots and generally in such manner in every respect as the grantee deems expedient, with power to allow time for payment of purchase money, or to buy in the said chattels or any part of it at such auction, and to rescind or vary the terms of any contract or sale, and to resell without being answerable for any loss or expense occasioned thereby, and to execute all such assurances and do all such things for giving effect to any such sale as may be necessary or proper; and the receipt of the grantee or his agent shall be a sufficient discharge to any purchaser at such sale for any of the purchase money; and upon any sale purporting to be made in exercise of the powers herein expressed or implied no purchaser shall be bound to inquire as to the propriety or regularity of any such sale, or be affected by notice express or constructive that any such sale is improper or irregular.

And it is hereby declared and agreed that the grantee shall stand possessed of the proceeds of any such sale upon trust, after paying thereout the costs, charges and expenses of and incidental to such taking possession, sale, and the preparation and registration of this instrument, to apply the same in reduction of the moneys then owing on the security of this instrument, including all moneys herein covenanted to be paid, notwithstanding that the same may not then have become due, or that any promissory notes or bills of exchange may then be current for the same, and to pay the balance of the grantor.

POWERS, COVENANTS AND PROVISIONS TO BE IMPLIED IN INSTRUMENTS BY WAY OF SECURITY OVER STOCK

8. That, during the continuance of this security, the grantee, his agents or servants, may from time to time, and at reasonable times for that purpose, enter into and upon the said lands or premises, or any other lands or premises whereon the stock for the time being subject to his security are depasturing, for the purpose of viewing the state and condition of the same; and that the grantor will, upon receiving 7 days’ previous notice in writing delivered to him personally or addressed to him through the ordinary course of post or otherwise at his last known place of abode in Niue, give and afford to the grantee, his agents or servants, all reasonable assistance to enable the grantee, his agents or servants, to view the same accordingly.

9. That there are now depasturing upon the said lands and premises all the stock herein respectively mentioned as depasturing thereon. And that the grantor will not, during the continuance of this security, without first obtaining the grantee’s consent in writing, further encumber the stock for the time being subject to this security, or change the general quality, character, or description of the same, or remove the same or any part thereof from the said lands or premises, or sell the same or any part thereof except in the ordinary course of business, but no sale shall be made so as to reduce the number of the stock stated in this security.

And that the grantor will, during the continuance of this security, at the usual and convenient season for so doing, well and properly brand, earmark, and mark, with the brand, earmark, and mark herein specified, all stock for the time being subject to this security, so that all such stock shall bear and continue to bear the brand, earmarks, and marks herein specified.

And will not without the leave in writing of the grantee brand, earmark, or mark, or permit to be branded, earmarked or marked any stock for the time being subject to this security with any brands, earmarks, or marks other than the brands, earmarks, and marks herein specified.

And will at all times during the continuance of this security take, use, and adopt all due and proper means for keeping and maintaining all stock now depasturing or that may during the continuance of this security be brought upon the said lands or premises or any part thereof, free from disease, and in clean and healthy condition: And will at all times during the continuance of this security pay and defray all expenses in and about the good and proper conduct and management of the said lands, stock, and premises, and employ and maintain on the said lands, or premises efficient and proper assistance to assist in the said conduct and management: And will every year, on demand by the grantee, render and deliver to him a return or account in writing setting forth the number, ages, and sexes of the stock for the time being subject to this security and the places where the same are depasturing or kept.

10. That all stock belonging to the grantor, branded, earmarked, or marked as aforesaid, or covenanted so to be, of which possession has been taken, under the power in that behalf herein contained, shall be subject to the same powers, provisions, declarations, and agreements as are herein expressed or implied of and concerning the stock and increase of stock herein expressed to be assigned, and may be dealt with in the same manner in all respects as if the stock of which possession is taken as aforesaid had formed part of the stock hereby assigned: And that the grantor will, at his own cost and charges, do and execute all such deeds, matters, and things as may be necessary, or as the grantee may think proper, for the further, better, and more perfectly assigning and assuring to the grantee the stock and increase of stock, and all and singular other the premises hereby assigned or intended so to be, or the stock for the time being on the said lands or premises, and any stock, branded, earmarked or marked as aforesaid, or covenanted so to be, of which possession has been taken as aforesaid, so that the same may be held by the grantee upon and for the same ends, intents, and purposes and with, under, and subject to the same powers, provisos, agreements, and declarations, as are herein expressed or implied of and concerning the stock and premises being expressed to be assigned: And shall and will from time to time, and at all times during the continuance of this security, pay all and singular the licence fees, head moneys, and other outgoings and payments and perform and observe all rules, regulations, and conditions which by the owner for the time being of the said stock or premises respectively now are or shall become at any time hereafter due, payable, observable or performable respectively: And that in case the grantor fails or neglects to pay such licence fees, head moneys, and other outgoings and payments as aforesaid, or any of them, or any part thereof, the grantee may make such payments respectively: And that in case the grantor fails or neglects to pay such licence fees, head moneys, and other outgoings and payments as aforesaid, or any of them, or any part thereof, the grantee may make such payments respectively: And that the grantor shall and will from time to time and at all times hereafter, on demand, pay or cause to be paid to the grantee all sums of money paid or advanced by the grantee in or towards such payment as aforesaid, with interest for the same time after the rate of $7 percent per annum from the time or respective times when the same were advanced or paid: And that in the meantime, and until such sums of money have been repaid with interest as aforesaid, the stock for the time being subject to this security shall stand charged and chargeable with the payment of the same in like manner as if the same had been principal moneys secured by this instrument. That in the case the grantee exercises any power of entry or taking possession vested in him hereunder, then he, or any person or persons appointed by him for the purpose, may continue in possession of the said stock and of the lands or premises whereon the same are depasturing or kept until the sale thereof, and manage, conduct, and carry on the said lands and stock, and employ servants and assistants, and provide all necessary stores in that behalf in all respects as the grantor could do if such power had not been exercised; and the grantee for any such purpose shall be entitled without any interference by the grantor to use all branding, earmarking, marking, and other implements and plant on or used in connection with the said lands or premises; and, further, that the costs, charges and expenses of so doing, from the time of such entry and taking possession until the sale and delivery of the said stock and premises to any purchaser thereof, shall together with interest thereon after the rate aforesaid, until payment, be a charge upon the stock for the time being subject to this security.

11 If the grantor does not pay to the grantee the moneys hereby secured, with interest and commission thereof as herein mentioned, at the time herein mentioned for payment of the same, the crops hereby assigned shall be gathered, carried away, and made marketable either by the grantor or by the grantee at the option of the grantee, but in either case at the expense of the grantor, and shall (if gathered by the grantor) be delivered by the grantor to the grantee or his order at the place of delivery mentioned [or, if no such place is mentioned in the instrument, at such place as the grantee directs]; and the grantee may either sell the same in Niue in one or more lots, by public auction or private contract, or partly in the one way and partly in the other, and upon such terms and conditions as to credit and otherwise as he thinks fit, or may cause the same to be shipped or exported to any place or places out of Niue, to be sold by his agents in the manner and on the terms aforesaid, without being responsible for any loss or deficiency occasioned either by the shipment of the said crop or by any sale or sales thereof, whether in Niue or elsewhere, or by the act, neglect, or default of any agent, broker, or other person; and may from the proceeds pay himself the moneys hereby secured, and any rent payable to any landlord, and any moneys payable to any mortgagee or other person that he may be compelled to pay in order to protect his security over the said crops, and all costs, mercantile and other charges, and expenses incurred in and about the harvesting, sale, shipment, and carrying away of such crops, and the storage and freight thereof, or on any other account connected with the realisation thereof, and shall pay over the balance, if any, to the grantor.

1. The words "upon demand" mean upon demand being made by notice in writing signed by the person entitled to make the demand, or any agent or clerk or servant of such person, served upon the person upon whom the demand is to be made, either personally or by posting the same in a duly registered letter addressed to him at his usual or last known place of abode in Niue.

2. The words "further advances" mean such further sum or sums of money as may be advanced or paid by the grantee to the grantor after the execution of this instrument, and include also such sums as may become owing by the grantor to the grantee during the continuance of this security for goods supplied, for bills and notes discounted and paid, and for other loans, credits, and advances that may during the continuance of this security be made by the grantee to or for the accommodation or at the request of the grantor.

3. The words "will, upon demand pay the balance due upon the account current between them" mean that the grantor will, on demand, pay to the grantee the balance on the account current of the grantor with the grantee for the time being owing for and on account of the moneys advanced on the execution hereof, or intended to be hereby secured, and for further advances as defined by the Chattels Transfer Act 1924, and for interest, commission and other lawful charges from the day of such demand being made till the actual payment thereof, at the rate mentioned in this instrument without any deduction; and it is hereby declared and agreed that the said account current shall be made up with half-yearly rests on the half-yearly days mentioned for that purpose in this instrument, in each year [or, if no such days are mentioned in the instrument, then on 31 March and 30 September in each year], until the final balance of account is fully paid; and that this instrument shall be a continuing security for all moneys for the time being owing by the grantor to the grantee, notwithstanding that the current account between them may have at any time theretofore been in credit by payments, settlement of account, or otherwise; and also that upon every such half-yearly day interest shall be considered as converted into principal, and the balance shall be chargeable with interest as aforesaid as upon further advances, and also that in making up such account interest at the rate specified in this instrument shall be calculated on the daily debtor balances; and also that, upon any such demand as aforesaid, all bills of exchange or promissory notes given by the grantor to the grantee and then current may, at the option of the grantee, be considered as matured or become due, subject to a rebate of interest upon the amount thereof for the time during which the same have to run, to be calculated at the rate at which interest is payable under this instrument, and that the amount of such bills or promissory notes, subject to such rebate, may be charged to the grantor in such account at the time of making such demand.

4. The words "will insure" mean that the party liable to insure will insure and at all times while this instrument remains in force will keep insured against loss or damage by fire all chattels comprised herein of a nature of kind capable of being insured against loss or damage by fire, such insurance to be effected in the name of the other party to this instrument and in some public insurance office to be approved of by him, and to be for the full amount herein specified [or, if no amount is specified, then for the full insurable value of the said chattels]; and will, at the request of the other party, hand over to and deposit with him the policy of every such insurance, and produce and deliver to him the receipt or receipts for the annual or other premiums payable on account thereof; and also that all moneys received under any such insurance shall, in the event of loss or damage by fire, be laid out and expended, so far as the same extend, in making good such loss or damage [or, if the instrument is given by way of security, in discharging the moneys hereby secured, if such other party so elects]: Provided that, if default be made in the observance or performance of this covenant, such other party may, without prejudice to and concurrently with the powers granted him by this instrument or otherwise by law, insure such chattels, and may forthwith recover the costs and charges of such insurance from the party liable to insure in like manner as if the same had been advanced by way of loan on the security of this instrument.

5. The words "will brand, earmark, and mark" mean that the party liable to brand, earmark, and mark will keep all the stock subject to this security at all times while the instrument remains in force distinctly branded, earmarked, and marked with the brands, earmarks, and marks specified in this instrument, failing which it shall be lawful for, but not imperative on, the other party hereto to enter upon any lands or premises where any stock subject to this security are and to take possession of the name, and brand, earmark, and mark the same with the brands, earmarks, and marks specified in this instrument, with the right to use all branding, earmarking, marking and other implements and plant requisite therefor, and all costs, charges, and expenses occasioned to him by so doing shall be recoverable from the party liable to brand, earmark, and mark as if the same had been advanced by way of loan as a further advance on the security of this instrument.

I, C.D. of [State residence and occupation of transferor], the grantee [or grantor, in case of an instrument by way of bailment] of the instrument registered in the office of

the High Court at

as no.

under the Chattels Transfer

Act 1924, do, in consideration of [State consideration], hereby transfer to X. Y., of [State residence and occupation of transferee], the chattels comprised in the said instrument, and all my right, title, estate, and interest thereunder.

As witness my hand this		day of 20
	C.D
Signed by the said C.D, in the presence of –
E. F., [Residence and Occupation]

Furniture.
Pianos and pianolas.
Gramophones.
Typewriters.
Motor vehicles of all descriptions.
Sewing machines.
Cash registers.
Shearing machines.
Engines.
Pumps and machinery, implements, and accessories for use in pumping.
Windmills.
Milking machines, and all other machinery and implements and accessories for use in the dairy industry.
Reapers and binders, and all other machinery and implements and accessories thereto for use in agriculture.
Machinery, implements, and accessories thereto for use in the bootmaking industry.
Electric motors.
Machine printing presses and slug casting machines, type composing machines, and other machinery accessories and attachments for use in connection with the printing and bookbinding industry.
Gas stoves, gas geysers, gas washing coppers.
Electrical equipment apparatus, and appliances required in connection with the use of electric energy.
Computing scales, weighing machines, bread and bacon slicing machines, cheese cutting machines.
Tractors.
Equipment, apparatus and appliances for use in connection with the consumption of coal gas.
Cinematograph projection machines, and lighting and other equipment peculiar thereto.
Electric ranges and water heaters.
Electric vacuum cleaners, electric refrigerators, radio sets and equipment, bicycles.
Electric washing machines, electric ironing machines, electric floor polishing machines,
petrol driven washing machines
Electric dish washing machines
Piano accordions
Motor mowers, 12 to 21 in.
Electric clothes drying machines and appliances, electric garbage disposal machines and appliances.
Self-propelled machinery and plant for road-making, earth-moving, tree-moving, or tree-haulage purposes.
Equipment and appliances for road-making, earth-moving, tree-moving, or tree-haulage purposes, and attached to or for use with –

(b) Self-propelled machinery or plant for roadmaking, earthmoving, tree-moving, or tree-haulage purposes.

Tanks, equipment, apparatus and appliances for use in connection with the storage, pumping, and serving of beer (excluding barrels).
Power-operated vehicle hoists and accessories thereto; power-operated lubrication equipment and accessories thereto.
Television sets and equipment.
Domestic knitting machines.
Heavy duty trailers.
Dry-cleaning equipment of a commercial or industrial type.
Laundry equipment of a commercial or industrial type.
Silos of the type commonly sold to farmers for the storage of grain on farms.

Niue Consolidated Legislation

Chattels Transfer Act 1924