Explain the meaning of the term “hire purchase agreement”.

(a) Explain the meaning of the term “hire purchase agreement”. (4 marks)

(b) Outline the legal effects on non-registration of a hire purchase agreement. (6 marks)

(c) Jean Jipapa insured his ship against any losses while lying at Mombasa port for a sum of 10 million with BADCE Insurance Company Limited .He further insured the same ship with Deep Sea Insurance Company Limited for a similar amount. Subsequently, the port caught fire and the ship was badly damaged. The estimated cost of repair of the ship is 5 million. Jean Jipapa has lodged a claim for compensation from both insurance companies.
Explain the legal principles in the case and advise Jean Jipapa. (10 marks)

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Explain the meaning of the term “hire purchase agreement”.

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