Ask a lawyer on the topic of Civil law

Stolen vehicle purchased in good faith and restored.

April 28, 2014 | 30,00 EUR | answered by Daniel Hesterberg

Hello, in autumn 2013 I bought an old non-functioning Vespa for 1250 euros. I signed a written purchase contract with the seller stating that he was the owner and had lost the papers. I then completely restored the Vespa, spending around 3000 euros on it in addition to the purchase price. When trying to register the vehicle, the registration authority discovered that it was a stolen vehicle. I immediately took the vehicle to the local police, who confiscated it and identified the owner. The owner will likely remain the owner.
What will happen to the new parts I installed, such as the paint, engine overhaul, etc., if I cannot come to an agreement with the owner on a price?

Daniel Hesterberg

Dear inquirer,

Thank you for your inquiry, which I would like to answer as follows:

In my opinion, you have not acquired the item in good faith and are therefore not the owner.

Section 932 of the German Civil Code (BGB) - Acquisition in good faith from a non-entitled person - states:

"By a [...] transfer, the acquirer becomes the owner even if the item does not belong to the transferor, unless at the time he would acquire ownership he is not in good faith.
[...] The acquirer is not in good faith if he knows or, due to gross negligence, is unaware that the item does not belong to the transferor."

In this case, the latter is assumed because the documents were missing.

According to case law, it is considered gross negligence for someone to purchase a used car without being presented and handed over the registration certificate Part II.

Therefore, you still have the opportunity to reach an agreement with the owner regarding their approval of the sale.

Furthermore, your useful purpose in terms of the restoration of the Vespa also plays a role and can be claimed by you.

I hope this information is helpful and wish you a pleasant day. If you have any further questions, feel free to ask.

Best regards,

Daniel Hesterberg
Attorney at Law