1. Bailment and pledge

2. Bailment

3. Requisites of bailment
1) Contract
2) Delivery of possession
3) For some purpose
4) Return of specific goods
Bailment is concerned only with goods
Consideration in a contract of bailment

4. Classification of bailment
According to the benefit derived by the
parties:
 For the exclusive benefit of the bailor
 For the exclusive benefit of the bailee
 For the mutual benefit of the bailor and the bailee
Bailment may also be classified into:
 Gratuitous bailment
 Non-gratuitous bailment or bailment for reward

5. Duties of bailor
1. To disclose known faults
2. To bear extraordinary expenses of
bailment
3. To indemnify bailee for loss in case of
premature termination of gratuitous
bailment
4. To receive back the goods
5. To indemnify the bailee

6. Duties of bailee
1. To take reasonable care of the goods
bailed.
2. Not to make any unauthorized use of
goods.
3. Not to mix the goods bailed with his own
goods.
4. Not to set up an adverse title.
5. To return any accretion to the goods.
6. To return the goods.

7. Rights of bailor
1. Enforcement of rights.
2. Avoidance of contract.
3. Return of goods lent gratuitously.
4. Compensation from a wrong-doer.

8. Rights of bailee
1. Delivery of goods to one of several joint
bailors of goods.
2. Delivery of goods to bailor without title.
3. Right to apply to court to stop delivery.
4. Right of action against trespasser.
5. Bailee’s lien.

9. Law relating to lien
1. Particular lien
2. General lien

10. Rights of bailor & bailee against
wrong-doer
 Suit against wrong-doer.
 Apportionment of relief.

11. Have a break!

12. Finder of goods
Rights of finder of goods
 Right of lien
 Right to sue for reward
 Right of sale
Obligations of finder of goods

13. Liability of hotel-keepers, inn-
keepers, common carriers

14. Termination of bailment
1. On the expiry of the period.
2. On the achievement of the object.
3. Inconsistent use of goods.
4. Destruction of the subject-matter.
5. Gratuitous bailment.
6. Death of the bailor or bailee.

15. Pledge

16. Rights of Pawnee
1. Right of retainer.
2. Right of retainer for subsequent
advances.
3. Right to extraordinary expenses.
4. Right against true owner, when the
pawnor’s title is defective.
5. Pawnee’s rights where pawnor makes
default.

17. Rights of pawnor
1. Right to get back goods.
2. Right to redeem debt.
3. Preservation and maintenance of the
goods.
4. Rights of an ordinary debtor.

18. Pledge by non-owners
1. Pledge by mercantile agent.
2. Pledge by seller or buyer in possession
after sale.
3. Pledge where pawnor has a limited
interest.
4. Pledge by co-owner in possession.
5. Pledge by person to possession under a
voidable contract.