Facts of the case City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc., and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the contents in a month. While CTC is unloading one of the containers, the other container disappears from CTC\'s loading dock Provisions of the case Facts of the case City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc., and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the contents in a month. While CTC is unloading one of the containers, the other container disappears from CTC\'s loading dock Provisions of the caseThe above facts of the case has close relation to the “Bailments and the Storage, Shipment, and Leasing of Goods” as CTC ltd holds possession of containers of Unlimited sales Inc which are collected in months time.A bailment arises when one person (a bailee) rightfully holds property belonging to another (a bailor). The law of bailments addresses the critical links in the movement of goods from the manufacturer to the end user in a consumer society: to the storage and transportation of goodsThe storage of goods is a special type of bailment.People who store goods can retrieve them or transfer ownership of them by transferring possession of the warehouse receipt: whoever has rightful possession of the receipt can take the goods, and the warehouser is liable for misdelivery or for mixing up goods.Common carriers (those firms that hire out their trucks, airplanes, ships, or trains to carry cargo) are strictly liable to ensure the proper arrival of the goods Five exceptions (act of God, public enemy, public authority, shipper; inherent nature of the goodsThe first carrier to receive them is liable, others who subsequently carry are that carrier’s agents.The carrier may also store goods if it does so for its own convenience it is liable as a carrier or if it does so for the shipper’s convenience, it is liable as a warehouser.As with warehousers, the carrier is liable for misdeliveryAnalysis of the caseIn the present case While CTC ( Bailee ) is unloading one of the containers, the other container disappears from CTC\'s loading dock. Therefore it is important to understand the rights and liabilities of CTC towards Unlimited sales Inc (Bailor).If the bailee fails to redeliver the goods to the bailor, a presumption of negligence arises, but the bailee can rebut the presumption by showing that she exercised appropriate care.What is “appropriate care” depends on the test used in the jurisdiction, some courts use the “ordinary care under the circumstances,” and some determine how much care the bailee should have exercised based on the extent to which she was benefited from the transaction compared to the bailor.The bailor can be liable too for negligently delivering goods likely to cause damage to the bailee. In either case reasonable disclaimers of liab.

1. Facts of the case
City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc.,
and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the
contents in a month. While CTC is unloading one of the containers, the other container
disappears from CTC's loading dock
Provisions of the case
Facts of the case
City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc.,
and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the
contents in a month. While CTC is unloading one of the containers, the other container
disappears from CTC's loading dock
Provisions of the caseThe above facts of the case has close relation to the “Bailments and the
Storage, Shipment, and Leasing of Goods” as CTC ltd holds possession of containers of
Unlimited sales Inc which are collected in months time.A bailment arises when one person (a
bailee) rightfully holds property belonging to another (a bailor). The law of bailments addresses
the critical links in the movement of goods from the manufacturer to the end user in a consumer
society: to the storage and transportation of goodsThe storage of goods is a special type of
bailment.People who store goods can retrieve them or transfer ownership of them by
transferring possession of the warehouse receipt: whoever has rightful possession of the receipt
can take the goods, and the warehouser is liable for misdelivery or for mixing up
goods.Common carriers (those firms that hire out their trucks, airplanes, ships, or trains to carry
cargo) are strictly liable to ensure the proper arrival of the goods Five exceptions (act of God,
public enemy, public authority, shipper; inherent nature of the goodsThe first carrier to receive
them is liable, others who subsequently carry are that carrier’s agents.The carrier may also store
goods if it does so for its own convenience it is liable as a carrier or if it does so for the
shipper’s convenience, it is liable as a warehouser.As with warehousers, the carrier is liable for
misdeliveryAnalysis of the caseIn the present case While CTC ( Bailee ) is unloading one of the
containers, the other container disappears from CTC's loading dock. Therefore it is important to
understand the rights and liabilities of CTC towards Unlimited sales Inc (Bailor).If the bailee
fails to redeliver the goods to the bailor, a presumption of negligence arises, but the bailee can
rebut the presumption by showing that she exercised appropriate care.What is “appropriate care”
depends on the test used in the jurisdiction, some courts use the “ordinary care under the
circumstances,” and some determine how much care the bailee should have exercised based on
the extent to which she was benefited from the transaction compared to the bailor.The bailor can
be liable too for negligently delivering goods likely to cause damage to the bailee. In either case

2. reasonable disclaimers of liability are allowed.In a bailment case, the plaintiff bailor has the
burden of proving that a loss was caused by the defendant bailee’s failure to exercise due
care.Bailees frequently attempt to disclaim their liability for loss or damage. But courts often
refuse to honor the disclaimers, usually looking to one of two justifications for invalidating
them.Even if the bailor reads the disclaimer, some courts will nevertheless hold the bailee liable
on public policy grounds, especially when the bailee is a “business bailee,” such as a warehouse
or carrier.
Solution
Facts of the case
City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc.,
and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the
contents in a month. While CTC is unloading one of the containers, the other container
disappears from CTC's loading dock
Provisions of the case
Facts of the case
City Transportation Company (CTC) agrees to pick up two containers for Unlimited Sales, Inc.,
and to the unpack and store the contents of the container until Unlimited Sales, Inc. picks up the
contents in a month. While CTC is unloading one of the containers, the other container
disappears from CTC's loading dock
Provisions of the caseThe above facts of the case has close relation to the “Bailments and the
Storage, Shipment, and Leasing of Goods” as CTC ltd holds possession of containers of
Unlimited sales Inc which are collected in months time.A bailment arises when one person (a
bailee) rightfully holds property belonging to another (a bailor). The law of bailments addresses
the critical links in the movement of goods from the manufacturer to the end user in a consumer
society: to the storage and transportation of goodsThe storage of goods is a special type of
bailment.People who store goods can retrieve them or transfer ownership of them by
transferring possession of the warehouse receipt: whoever has rightful possession of the receipt
can take the goods, and the warehouser is liable for misdelivery or for mixing up
goods.Common carriers (those firms that hire out their trucks, airplanes, ships, or trains to carry
cargo) are strictly liable to ensure the proper arrival of the goods Five exceptions (act of God,
public enemy, public authority, shipper; inherent nature of the goodsThe first carrier to receive
them is liable, others who subsequently carry are that carrier’s agents.The carrier may also store
goods if it does so for its own convenience it is liable as a carrier or if it does so for the
shipper’s convenience, it is liable as a warehouser.As with warehousers, the carrier is liable for

3. misdeliveryAnalysis of the caseIn the present case While CTC ( Bailee ) is unloading one of the
containers, the other container disappears from CTC's loading dock. Therefore it is important to
understand the rights and liabilities of CTC towards Unlimited sales Inc (Bailor).If the bailee
fails to redeliver the goods to the bailor, a presumption of negligence arises, but the bailee can
rebut the presumption by showing that she exercised appropriate care.What is “appropriate care”
depends on the test used in the jurisdiction, some courts use the “ordinary care under the
circumstances,” and some determine how much care the bailee should have exercised based on
the extent to which she was benefited from the transaction compared to the bailor.The bailor can
be liable too for negligently delivering goods likely to cause damage to the bailee. In either case
reasonable disclaimers of liability are allowed.In a bailment case, the plaintiff bailor has the
burden of proving that a loss was caused by the defendant bailee’s failure to exercise due
care.Bailees frequently attempt to disclaim their liability for loss or damage. But courts often
refuse to honor the disclaimers, usually looking to one of two justifications for invalidating
them.Even if the bailor reads the disclaimer, some courts will nevertheless hold the bailee liable
on public policy grounds, especially when the bailee is a “business bailee,” such as a warehouse
or carrier.