Nevada § 104.2403 - Power to transfer; good faith purchase of goods; “entrusting”

§ 104.2403. Power to transfer; good faith purchase of goods; “entrusting”

1. A purchaser of goods acquires all title which the purchaser’s transferor had or

had power to transfer except that a purchaser of a limited interest acquires rights

only to the extent of the interest purchased. A person with voidable title has power to transfer a good title to a good faith purchaser

for value. When goods have been delivered under a transaction of purchase the purchaser has such

power even though: (a) The transferor was deceived as to the identity of the purchaser; (b) The delivery was in exchange for a check which is later dishonored; (c) It was agreed that the transaction was to be a “cash sale”; or (d) The delivery was procured through fraud punishable as larcenous under the criminal

law. 2. Any entrusting of possession of goods to a merchant who deals in goods of that

kind gives the merchant power to transfer all rights of the entruster to a buyer in

ordinary course of business. 3. “Entrusting” includes any delivery and any acquiescence in retention of possession

regardless of any condition expressed between the parties to the delivery or acquiescence

and regardless of whether the procurement of the entrusting or the possessor's disposition

of the goods have been such as to be larcenous under the criminal law. 4. The rights of other purchasers of goods and of lien creditors are governed by the

articles on secured transactions (article 9) and documents of title (article 7).