Question
In 2008, Mickey, the registered proprietor of a two-storey shop house, contracted to grant a 10-year lease of the ground floor to Donald to run
In 2008, Mickey, the registered proprietor of a two-storey shop house, contracted to grant a 10-year lease of the ground floor to Donald to run an Indian cuisine restaurant business. Even though the contract required Mickey to execute a lease instrument for the purpose of registering a lease, the parties delayed over the matter. Meanwhile Donald entered and took possession of the premises. Last year, Mickey contracted to sell the whole shop house to Pluto. As Mickey did not engage the service of a lawyer, they (Mickey and Pluto) decided to appoint Pluto's solicitor as the stakeholder in the transaction. Pluto paid the full purchase price to the solicitor. The transfer was registered. Most unfortunate for them, the solicitor absconded with the purchase money and could not be traced.
Required
Who, in between Mickey and Pluto, has to bear the loss caused by the misdeed of the solicitor?
Step by Step Solution
3.40 Rating (150 Votes )
There are 3 Steps involved in it
Step: 1
Solution The loss caused by the misdeed of the solicitor should be borne by Pluto As Pluto paid the ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started