i. What is Hire Purchase?
Hire purchase is a financing arrangement where a buyer acquires an asset by making an initial down payment and subsequent installment payments over a set period. Ownership of the asset is transferred to the buyer only after the final installment is paid. Until full payment, the seller retains legal ownership, although the buyer has possession and use of the item.

ii. Advice to Ronke Regarding Her Rights
Legal Issue: The issue is whether Fred’s seizure of the car was lawful given that Ronke had paid 90% of the purchase price under the hire purchase agreement.

Advice: Under hire purchase laws, the seller cannot repossess the item if the buyer has paid a substantial portion of the total amount—typically more than two-thirds—without seeking a court order. Since Ronke has already paid N900,000 out of N1,000,000, which is 90% of the total cost, Fred’s seizure of the car without a court order may be considered illegal. Ronke may be entitled to legal recourse, and she can seek damages or a court order to recover possession of the car or to challenge the repossession.