Retention of Title Business Credit Management UK Retention of Title 1. This paper is intended to provide businessmen with a brief practical approach to retention of title and to help them to discuss the subject with their lawyers. It is not intended to replace specific professional advice. Retention of title has been the subject of lengthy decisions in the courts, and specialists have written sizeable books on it. Therefore, this article can do no more than provide an introduction and an outline.
Retention of title is largely about the distinction between possession and ownership.
Speaking generally, possession may be described as custody or control, and ownership as legal title. In regard to the sale of goods, possession and ownership often occur together, but not necessarily. The basic law relating to the sale of goods states that when goods are the subject of a contract of sale, title shall pass from the seller to the buyer at the time specified in the contract, but that if the contract does not specify a time, title shall pass upon the delivery of the goods. No doubt, therefore, in the majority of cases, title passes upon delivery. Yes, if the buyer accepts them.