Anda di halaman 1dari 6

What do you mean by Bailment?

A 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 them. Bailment The act of delivering goods for a special purpose is termed as bailment. The person who is delivering the goods is called a bailor while the person who receives the goods is referred top as a bailee in the contract. The goods that are transferred in this manner shall be returned to the owner upon completion of the purpose of the contract. The point to be remembered in this kind of transaction is that ownership of the goods does not get changed. In bailment, only goods are involved, and all movable items apart from property and money come under bailment. Thus it is clear that when you keep money in a bank account, it does not come under bailment. Transfer of personal property by one party (the bailor) in the possession, but not ownership, of another party (the bailee) for a particular purpose. Such transfer is made under an express or implied contract (called bailment contract or contract of bailment) that the property will be redelivered to the bailor on completion of that purpose, provided the bailee has no lien on the goods (such as for nonpayment of itscharges). The bailee is under an obligation to take reasonable care of the property placed under its possession. Bailment contracts are a common occurrence in everyday life: giving clothes to a launderer, leaving car with an auto mechanic,etc.

Who are bailor, bailee? Bailor: The person delivering the goods is called the bailor. Bailee: The person to whom they are delivered is called the bailee. Bailment: The transaction is called Bailment. What are the characteristics of Bailment ? (P-130) The characteristics of Bailment are given below: 1. Delivery. 2. Purpose 3. Return.

4. Contract. 5. Movable goods. 6. Possession. What are the kinds of Bailment? 1. Gratuitous Bailment: A gratuitous bailment is one in which neither the bailor, nor the bailee is entitled to an remuneration 2. Bailment for reward: A bailment for reward is one where either the bailer or the bailee is entitled to remuneration What are the duties of the Bailee? The duties of the Bailee are given below: 1. 2. 3. 4. 5. 6. 7. 8. Duty of reasonable care. Bailees liability for negligence of servants. Unauthorized use of goods. Mixture of Bailors goods with the Bailees. Duty of returning goods. Accretion to the goods bailed. Liabilities of Innkeeper and Hotelkeepers. Liabilities of carrier.

What are the duties of the Bailor? The duties of the Bailor are given below: 1. Bailors duty to disclose faults in goods bailed. 2. Payment of expenses in Gratuitous Bailment. 3. Responsibility for breach of warranty of title. What are the rights of Bailee? The rights of Bailee are enumerated hereunder: 1. 2. 3. 4. 5. Enforcement of rights. Bailment by several joint owners. Bailee not responsible on re-delivery to bailor with out title. Bailees particular lien. Bailees general lien.

What are the rights of Bailor? The rights of Bailor are enumerated hereunder: 1. Enforcement of rights. 2. Act inconsistent with the terms. 3. Restoration of goods lent gratuitously. When does a Bailment terminate? (P-136) 1. 2. 3. 4. 5. Efflux of time. Fulfilment of purpose. Act inconsistent with the term. Goods lent gratuitously. Death.

What are the rights and duties of finder of goods ? (P-136) 1. 2. 3. 4. Possession. Compensation and Lien. Reward. Sale.

What are the duties and obligations of finder of goods ? (P-137) 1. He must take reasonable care of the goods. 2. He must not mix the finders goods with his own goods. 3. The goods must be returned to the real owner. 4. If there is an accretion to the goods found, it must be given to the real owner. 5. He must not use the goods for his purpose. 6. He must try to find out the true owner of the goods. What are the provisions of law for filling Suits by Bailors or Bailees against wrong-doers? 1. Right to interplead. 2. Suit by bailor or bailee against wrong-doer. 3. Appointment of relief or compensation obtained by such suits.

What do you mean by Pledge or Pawn?

The bailment of goods as security of payment of a debt or performance of a promise is called Pledge or Pawn.

a simple example, John asks to borrow $500 from Mary. Mary decides first that John will have to pledge his stereo as security that he will repay the debt by a specific time. In law John is called the pledgor, and Mary the pledgee. The stereo is referred to as pledged property. As in any common pledge contract, possession of the pledged property is transferred to the pledgee. At the same time, however, ownership (or title) of the pledged property remains with the pledgor. John gives the stereo to Mary, but he still legally owns it. If John repays the debt under the contractual agreement, Mary must return the stereo. But if he fails to pay, she can sell it to satisfy his debt.

What are the difference between Bailment and Pledge? The difference between pledge and other kind of bailment lies in the purpose or objectives of the transaction. 1. The purpose of a pledge is to provide security for a debtor or the performance of a promise. But in case of bailment there are other purposes for examplerepair, safe custody. 2. Pledge is a particular kind of bailment. 3. In case of default the Bailee does not have the right to sell the goods but a pledgee gets a right to sell the goods. 4. Bailee can use the goods but pledgee has no right to use the goods.

Bailment vs. Pledge Bailment is an act of transferring goods to another person and such goods need to be returned to the owner after the completion of the purpose Bailment involves only goods other than property and money Pledge is a special type of bailment where you promise to pay the money a money lender gives in exchange for your valuable goods that act as a security

When can a non-owner make a valid Pledge? 1. 2. 3. 4. Mercantile Agent. Possession under a voidable contract. Pawnor with a limited interest. Possession with co-owner.

What are the rights of the Pledge or Pawnee? 1. 2. 3. 4. Right of Retainer. Retainer of subsequent advance. Extraordinary expenses. Pawnees right where pawnor makes default.

What are the rights of Pledgor? (P-139) 1.Defaulting pawnors right to redeem. 2. Preservation and maintenance. 3. Protection of debtor

Mortgage
A legal agreement that conveys the conditional right of ownership on an asset or property by its owner (the mortgagor) to a lender (the mortgagee) as security for a loan. The differences between a mortgage and a pledge: 1. The Security in Mortgaged is an immovable property, while in a pledge it is a movable property. 2. In a pledge the ownership of the pledged property remains with the debtor (the pledgor or borrower). In a mortgage, the ownership of the mortgaged property is transfered to the creditor (banker or mortgagee). 3. Delivery of the property is essential to a pledge; hence the goods delivered by the pledgor or borrower will be in the custody of the banker. But, in a mortgage, the possession of the property will be with the borrower. 4. In a pledge, the banker (pledgee) can sell the pledged property without the intervention of the Court. In a mortgage, except in English mortgage, a mortgagee can sell the property only with the permission of the Court. 5. A pledgee does not have the right of foreclousure (i.e. cannot debar the

pledgor or the borrower from taking or redeeming the pledged property). But, in a mortgage, a mortgagee (borrower) has the right of foreclousre, i.e., can debar the borrower from taking back the mortgaged property under certain circumstances

Anda mungkin juga menyukai