Your SlideShare is downloading. ×
Bailment & pledge 14
Upcoming SlideShare
Loading in...5

Thanks for flagging this SlideShare!

Oops! An error has occurred.

Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Bailment & pledge 14


Published on

No Downloads
Total Views
On Slideshare
From Embeds
Number of Embeds
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

No notes for slide


  • 1. Bailment & pledge Section 148 Delivery of goods by 1 person to another for some purpose …contract: to return after use or to dispose as asked by the person who delivered the goods Bailor: who gives Bailee : who takes Bailment: transaction
  • 2. Examples: Hiring a bicycle Giving cloth to a tailor Delivering watch for repair
  • 3. Kinds of bailment Based on benefit: Bailment for the exclusive benefit of :1] bailor: leaving goods in safe custody without paying 2] bailee :a loan of some article like a pen 3] mutual benefit: contracts for hiring, repair ,etc
  • 4. Kinds of bailment: Based on reward: 1] gratuitous bailment: neither bailor nor bailee is entitled for remuneration, example: lending a book to a friend 2] non-gratuitous bailment: bailment of reward: either bailee or bailor is entitled to a remuneration , example: hire, tailor, etc
  • 5. Difference between sale & bailment Ownership transferred? Buyer under no obligation to return goods? Ownership not transferred?
  • 6. Difference between bailment &licence Permission to use place? No delivery of goods? Responsible for safety of goods? Goods delivered?
  • 7. Duties of bailee: Take reasonable care of goods[S.151] Not to make unauthorized use of goods[S.154] Not to mix goods with his own goods Duty to return goods {A hires a horse for 4 days, fails to return, horse dies, has to pay price of horse} Duty to return any accretion to goods {cow + calf}
  • 8. Duties of bailor: Disclose faults in goods Repay necessary expenses in case of gratuitous bailment.. feeding expenses for the horse kept in safe custody Repay extraordinary expenses in case of non-gratuitous bailment.. If horse falls ill during bailment period then giving expenses Duty to indemnify bailee.. If A gives his neighbors scooter to B Duty to receive back the goods
  • 9. PLEDGE OR PAWN Bailment of goods as security for payment of debt or performance of a promise :PLEDGE Bailor: PAWNER Bailee: PAWNEE Example: A borrows Rs.100 from B & keeps his watch as security : pledge
  • 10. Difference between bailment &pledge: PURPOSE: security? ; repairs? RIGHT OF SALE: sale on default? ; no right to sale? RIGHT OF USING THE GOODS: no right?
  • 11. Rights of Pawnee: Right of retainer{S.173}: right to retain goods until dues paid Right of transfer for subsequent advances:{S.174}: on lending money to same debtor without further security ;right to retain earlier goods extends Right to extraordinary expenses {S.175} Right to sue the pawner or sell the goods on default.
  • 12. Rights of Pawnor: Enforcement of pawnee’s duties Defaulting pawnor’s right to redeem