THINKƦ.

m CLOTH AT BOUTIQUE

m VEHICLE AT SERVICE STATION

m LENT BOOK TO FRIEND

m GOODS ON RENT
THINKƦ.

m CLOTH AT BOUTIQUE

m VEHICLE AT SERVICE STATION

m LENT BOOK TO FRIEND

m GOODS ON RENT
 BAILMENT-- DEFINITION
BAILMENT
ACCORDING TO SEC 148 OF CONTRACT ACT-
ACT-

ƠA BAILMENT IS THE DELIVERY OF

GOODS BY ONE PERSON TO ANOTHER
FOR SOME PURPOSE,UPON A CONTRACT
THAT THEY SHALL,WHEN THE PURPOSE
IS ACCOMPLISHED, BE RETURNED OR
OTHERWISE DISPOSED OF ACCORDING
TO THE DIRECTION OF THE PERSON
DELIVERING THEMơ.
 BAILOR AND BAILEE
m THEPERSON DELIVERING THE GOODS IS
CALLED THE ƝBAILORƞ.

m THE PERSON TO WHOM THE GOODS ARE

BEING DELIVERED IS CALLED THE
ƝBAILEEƞ.
 ESSENTIAL FEATURES
O THE DELIVERY OF POSSESSION
OF MOVABLE GOODSƦ

Possession different from custody

Servant and guest have custody but not

the possession.
 ESSENTIAL FEATURES-
FEATURES-:
O Delivery upon contract

Examples:
1. Lost jewellery recovered by the police but
later stolen from the police station.

2. Police locked godown, heavy rains came,

tobacco inside wasted.
 ESSENTIAL FEATURES-
FEATURES-:
O Conditional Delivery
WHEN THE PURPOSE IS ACCOMPLISHED..

THE GOODS WILL BE RETURNED

OR
DISPOSED OF ACCORDING TO THE
DIRECTION OF THE BAILOR.
 KINDS OF BAILMENT-
BAILMENT-:

FROM ƝBENEFITƞ POINT OF VIEW-

VIEW-:

m FOR THE EXCLUSIVE BENEFIT OF THE BAILOR..

m FOR THE EXCLUSIVE BENEFIT OF THE BAILEE.

m FOR THE MUTUAL BENEFIT OF BOTH.

 FROM ƝREWARDƞ POINT OF VIEW-
VIEW-:

m GRATUITOUS BAILMENT

m NON
NON--GRATUITOUS BAILMENT
 DUTIES OF A BAILEE
m DUTY
TO TAKE REASONABLE CARE OF
GOODS DELIVERED TO HIM.[SEC 151]

m DUTYNOT TO MAKE UNAUTHORISED

USE OF GOODS ENTRUSTED TO HIM[SEC
154]
 EXAMPLE
Ú


FOR HIS OWN RIDING

A LENDS A HORSE TO B FOR HIS OWN RIDING

ONLY..B ALLOWS C, A MEMBER OF HIS
FAMILY,TO RIDE THE HORSE. C RIDES WITH
CARE, BUT THE HORSE ACCIDENTLY FALLS AND
IS INJURED.
B IS LIABLE TO MAKE COMPENSATION FOR THE
INJURY DONE TO HORSE.
m DUTY NOT TO MIX GOODS
BAILED WITH HIS OWN GOODS.
1. WITH BAILORƞS CONSENT:
PROPORTIONATE SHARE
2. WITHOUT BAILORƞS CONSENT:
a. WHERE THE GOODS CAN BE SEPERATED
OR DIVIDED.[SEC 156]
b. WHERE THE GOODS MIXED CANNOT BE
SEPERATED.[SEC 157]
m DUTY TO RETURN THE GOODS.[SEC 160]

m DUTYTO DELIVER ANY ACCRETION TO

THE GOODS.[SEC 163]
 EXAMPLE--:
EXAMPLE
A LEAVES A COW IN THE CUSTODY OF B
TO BE TAKEN CARE OF.THE COW HAS A
CALF. B IS BOUND TO DELIVER THE CALF
AS WELL AS THE COW TO A.[ APPENDED
IN SEC 163]
 DUTIES OF A BAILOR
m DUTY
TO DISCLOSE THE FAULTS IN THE
GOODS BAILED.[SEC 150]

m DUTY TO PAY NECESSARY EXPENSES IN

CASE OF GRATUITOUS BAILMENT.
[SEC 158].
m DUTYTO REPAY ANY ƝEXTRAORDINARYƞ
EXPENSES IN CASE OF NON-
NON-GRATUITOUS
BAILMENT.

m DUTY TO INDEMNIFY BAILEE. [SEC 164]

m DUTY TO RECEIVE BACK THE GOODS.
 RIGHTS OF BAILEE-
BAILEE-:
m ENFORCEMENT OF BAILORƞS DUTIES.

m RIGHTTO DELIVER THE GOODS TO ONE

OF SEVERAL JOINT BAILORS.[SEC 165]

m RIGHTTO DELIVER GOODS IN GOOD

FAITH,TO BAILOR WITHOUT TITLE.[SEC
166]
m RIGHT OF LIEN.
LIENS MAY BE OF TWO TYPES-
TYPES-:

a. PARTICULAR LIEN.
b. GENERAL LIEN.
 BAILEEƞS PARTICULAR LIEN-
LIEN-:
ƠWHERE THE BAILEE HAS,IN ACCORDANCE
WITH THE PURPOSE OF THE
BAILMENT,RENDERED ANY SERVICE
INVOLVING THE EXERCISE OF LABOUR OR
SKILL IN RESPECT OF THE GOODS
BAILED,HE HAS,IN THE ABSENCE OF A
CONTRACT TO THE CONTRARY,A RIGHT
TO RETAIN SUCH GOODS UNTIL HE
RECEIVES DUE REMUNERATION FOR THE
SERVICES HE HAS RENDERED IN RESPECT
OF THEM.ơ
 CONDITIONS--:
CONDITIONS
m THEBAILEE MUST HAVE RENDERED
SOME SERVICE IN RELATION TO THE
THING BAILED AND MUST BE ENTITLED
TO SOME REMUNERATION FOR IT,WHICH
MUST NOT HAVE BEEN PAID.
m THESERVICE RENDERED BY THE BAILEE
MUST BE ONE INVOLVING THE EXERCISE
OF LABOUR OR SKILL IN RESPECT OF
THE GOODS BAILED.SO AS TO CONFER
AN ADDITIONAL VALUE ON THE ARTICLE.
 EXAMPLE--:
EXAMPLE
A,DELIVERS A ROUGH DIAMOND TO B,A
JEWELLER,TO BE CUT AND POLISHED
WHICH IS ACCORDINGLY DONE.B IS
ENTITLED TO RETAIN THE STONE TILL
HE GETS PAYEMENT FOR HIS
SERVICES.[SEC 170]
m THESERVICES MUST HAVE BEEN
PERFORMED IN FULL ACCORDANCE WITH
THE DIRECTIONS OF THE
BAILOR,WITHIN THE AGREED TIME.

m THEREMUST NOT BE AN AGREEMENT TO

PERFORM THE SERVICE ON CREDIT.
 EXAMPLE--:
EXAMPLE
A GIVES A CLOTH TO B,A TAILOR,TO
MAKE A COAT.B PROMISES TO DELIVER
THE COAT AS SOON AS IT IS
FINISHED,AND TO GIVE 3 MONTHSƞ
CREDIT FOR THE PRICE.
B IS NOT ENTITLED TO RETAIN THE
COAT UNTIL HE IS PAID.
m THEGOODS MUST BE IN POSSESION OF
THE BAILEE.

m THEREMUST NOT BE A CONTRACT TO

THE CONTRARY.
 BAILEEƞS GENERAL LIEN-
LIEN-:
m BANKERS
m FACTORS
m WHARFINGERS
m ATTORNEYS OF HIGH COURT
m POLICY BROKERS
m ANY OTHER PERSON,IF THER IN AN
EXPRESS CONTRACT TO THAT EFFECT.
 RIGHTS OF BAILOR-
BAILOR-:
m ENOFRCEMENT OF BAILEEƞS DUTIES.

m RIGHTTO TERMINATE THE BAILMENT IF

THE BAILEE USES THE GOODS
WRONGFULLY.[SEC 153]

m RIGHT
TO DEMAND THE RETURN OF
GOODS AT ANY TIME IN CASE OF
GRATUITOUS BAILEMNT.[SEC 159]
 TERMINATION OF BAILMENT:
m IF THE BAILMENT IS FOR A ƝSPECIFIED
PERIODƞ.
m IF THE BAILMENT IS FOR A ƝSPECIFIED
PURPOSEƞ.
m IF THE BAILEE DOES ANY ACT WITH
REGARD TO THE GOODS BAILED,WHICH
IS INCONSISTENT WITH THE TERMS OF
BAILMENT.[SEC 153].
 FINDER OF LOST GOODS-
GOODS-:
ƠA PERSON WHO FINDS GOODS
BELONGING TO ANOTHER AND TAKES
THEM INTO HIS CUSTODY,IS SUBJECT
TO THE SAME RESPONSIBILITY AS A
BAILEEơ.[SEC 71]
 DUTIES OF FINDER-
FINDER-:
m DUTY TO FIND THE TRUE OWNER.

m DUTY
TO TAKE REASONABLE CARE OF
GOODS AS A BAILEE.
 RIGHTS OF THE FINDER-
FINDER-:
m RIGHT
TO RETAIN POSSESION OF THE
GOODS UNTIL THE TRUE OWNER IS
FOUND.

m RIGHTOF LIEN OVER THE GOODS FOR

EXPENSES.[SEC 168]
m RIGHT TO SUE FOR THE REWARD.[SEC
168]

m RIGHT OF SALE.[ SEC 169]

 PLEDGE OR PAWN-
PAWN-:
ƠTHE BAILMENT OF GOODS AS SECURITY
FOR PAYMENT OF A DEBT OR
PERFORMANCE OF A PROMISE IS CALLED
ƝPLEDGEƞơ

THE BAILOR IN THIS IS CALLED THE

ƝPAWNORƞ.
THE BAILEE IS CALLED THE
ƝPAWNEEƞ.[SEC 172].
 EXAMPLE--:
EXAMPLE
A BORROWS RS.100 FROM B AND KEEPS
HIS WATCH AS SECURITY FOR
PAYEMENT OF THE DEBT.
 DIFFERENCE B/W BAILMENT AND
PLEDGE--:
PLEDGE
m AS TO PURPOSE

m AS TO RIGHT OF SALE.

m AS TO RIGHT OF USING THE GOODS.

 RIGHTS OF PAWNEE-
PAWNEE-:
m RIGHT OF RETAINER,[SEC 173]

m RIGHT
OF RETAINER FOR SUBSEQUENT
ADVANCES.[SEC 174]
m RIGHTTO EXTRAORDINARY
EXPENSES.[SEC 175]

m RIGHTTO SUE THE PAWNOR OR SELL

THE GOODS ON DEFAULT OF THE
PAWNOR.[SEC 176]
 DUTIES OF PAWNEE-
PAWNEE-:
m TOTAKE REASONABLE CARE OF GOODS
PLEDGED.

m NOTTO MAKE ANY UNAUTHORISED USE

OF GOODS.

m NOTTO MIX THE GOODS PLEDGED WITH

HIS OWN GOODS.
m NOTTO DO ANY ACT IN VIOLATION OF
THE TERMS OF THE CONTRACT OF THE
PLEDGE AND OF THE PROVISIONS OF
THE CONTRACT ACT.

m TORETURN THE GOODS PLEDGED ON

RECEIPT OF HIS FULL BONUS.
m TO
DELIVER ANY ACCRETION TO THE
GOODS PLEDGED.
 RIGHTS OF PAWNOR-
PAWNOR-:
m ENFORCEMENT OF PAWNEEƞS THE
DUTIES.

m DEFAULTINGPAWNORƞS RIGHT TO
REDEEM.[SEC 177]
 DUTIES OF PAWNOR-
PAWNOR-:
m TOCOMPENSATE THE PAWNEE FOR ANY
EXTRAORDINARY EXPENSES INCURRED
BY HIM.[SEC 175]

m TOMEET HIS OBLIGATION ON

STIPULATED DATE AND COMPLY WITH
THE TERMS OF CONTRACT.
 PLEDGE BY NON-
NON-OWNERS
m MERCANTILE AGENTS.[SEC 178]

m PERSONIN POSSESION UNDER

VOIDABLE CONTRACT.[SEC 178-
178-A]

m PLEDGORHAVING LIMITED
INTEREST.[SCE 179]
m SELLERIN POSSESSION OF GOODS
AFTER SALE.[SEC 30(1)]

m BUYER IN POSSESSION OF GOODS

UNDER AN ƠAGREEMENT TO SELLơ.[SEC
30(2)]