BFP Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of BFP, written in plain English, along with examples of how it is used.

What is BFP?

(n) BFP is the abbreviation used for a ‘bona fide purchaser’ to represent the person who has purchased a property, article or goods in the normal course of business without knowing the claim or charge on such property, article, goods etc.

History and Meaning of BFP

BFP stands for "bona fide purchaser," and refers to a person who has purchased a property or goods without any knowledge of any outstanding claims or charges on that property or goods. The concept of the BFP dates back to English common law, where it was recognized that a purchaser who had no knowledge of any defects or issues with the property they were buying could not be held responsible for those issues.

The BFP doctrine has been adopted in American law, and is often used in the context of real estate transactions. Under the BFP doctrine, a purchaser who buys property in good faith and for value, and who has no knowledge of any outstanding liens or claims against the property, generally takes title free and clear of any such liens or claims.

Examples of BFP

  1. John buys a piece of property from Bob, who is the legal owner of the property. John has no knowledge that there is a mortgage on the property, and pays fair market value for the property. John is considered a BFP, and takes title to the property free and clear of the mortgage.
  2. Sarah buys a car from a used car dealer. The dealer has clear title to the car, and Sarah pays the market value for the car. Sarah is considered a BFP, and takes clear title to the car.
  3. Mark buys a vintage guitar from a music store. The store has no knowledge of any outstanding liens on the guitar, and Mark pays the market value for the guitar. Mark is considered a BFP, and takes clear title to the guitar.

Legal Terms Similar to BFP

  1. Good faith purchaser: A purchaser who buys property in good faith, without any knowledge of any outstanding claims or issues with the property.
  2. Innocent purchaser: A purchaser who buys property without knowledge of any defects or issues with the property.
  3. Protected purchaser: A purchaser who takes ownership of property that is protected from certain types of claims or liens.