Question

    When the pawnor has obtained possession of the goods

    pledged by him under a contract voidable under section 19 or section 19A, but the contract has not been rescinded at the time of the pledge, ____________________
    A Pawnee acquires a good title to the goods Correct Answer Incorrect Answer
    B Pawnee does not acquire a good title to the good Correct Answer Incorrect Answer
    C Pawnee acquires a good title to the goods provided he acts in good faith and without notice of the pawnor's defect of title Correct Answer Incorrect Answer
    D Pawnee may acquire a good title to the goods provided he acts in good faith and without notice of the pawnor's defect of title Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    Contract Act   Explanation: Section 178A.   Pledge by person in possession under voidable contract: When the pawnor has obtained possession of the goods pledged by him under a contract voidable under section 19 or section 19A, but the contract has not been rescinded at the time of the pledge, the pawnee acquires a good title to the goods, provided he acts in good faith and without notice of the pawnor's defect of title.

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