Contract of Bailment introduction - BL.Unit III.pptx

Contract of Bailment introduction - BL.Unit III.pptx

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  1 UNIT III TOPIC :Bailment
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  Meaning of Bailment The term bailment is derived from French word ‘Bailor' which means to Deliver.  Bailment is a delivery of goods on condition that the recipient shall ultimately restore them to the Bailor or dispose of them according to the direction of the Bailee or dispose of them according to the direction of the Bailor.
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  Definition of 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 directions of the person delivering them.  In Bailment the person delivering the goods is called the ‘Bailor’ and the person to whom they are delivered is called the ‘Bailee’. Examples - Hiring of goods, car , furniture etc
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  Example  A Deliversa piece of cloth to B, a tailor, to be stitched into a suit. There is a contract of bailment between A and B  A lends a book to B to be returned after the examination. there is a contract of bailment between A and B
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  Classification of Bailments Bailments may be classified according to the benefit derived by the parties. Thus the bailment may be 1. For the Exclusive benefits of the Bailor 2. For the Exclusive benefits of the Bailee 3.For the Mutual benefit of the Bailor and the Bailee
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  Cont… 1. For theExclusive benefits of the Bailor: As the Delivery of some valuables to a neighbor for safe custody, without charge. 2. For the Exclusive benefits of the Bailee: As the lending of a bicycle to a friend for his use, without charge.
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  Cont… 3.For the Mutualbenefit of the Bailor and the Bailee: As the Hiring of a bicycle or giving of a watch for repair. In these cases, Consideration passes between the Bailor and the Bailee.
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  Bailment may bealso classified as  Gratuitous Bailment: It is a Bailment where no Consideration passes between the Bailor and the Bailee Eg: Where A lends a book to his friend B  Non-Gratuitous Bailment: It is a bailment where consideration passes between bailor and the bailee. Eg: Where certain goods are kept in a godown for hire, or where A Hires a bicycle from B
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  Essential Features ofBailment  Contract  Moveable Property  Delivery of Goods  Change of Possession  Purpose of Bailment  Temporary Delivery  Ownership  Change In Shape  Parties of the Contract  Returnable
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  Essential Features ofBailment 1. Contract :- It is the basic essential for the bailment. For the delivery of goods contract between the two parties is necessary. Contract may be oral or written, implied or expressed. 2. Moveable Property :- It is the main feature of bailment that it is only for the moveable property and not for the immoveable property.
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  Essential Features ofBailment 3. Delivery of Goods :- It is also necessary that goods should be delivered by one person to another. 4. Change of Possession :- Bailment contract also brings change in the possessions of the goods. Only b without possession is not sufficient for this contract.
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  Essential Features ofBailment 5. Purpose of Bailment :- The object of bailment may be for the safety of goods or for hire or for the use. 6. Temporary Delivery :- The delivery of the goods may not be for the permanent purpose. it is essential that delivery must be made for the temporary purpose.
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  Essential Features ofBailment 7. Ownership :- Right of ownership remains with bailor and it does not change by the delivery of goods to other person. 8. Change In Shape :- If bailed goods shape changes in the mean time even then it remains a contract of bailment.
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  Essential Features ofBailment 9. Parties of the Contract :- In the contract of bailment there are two parties, the bailor and the bailee. 10. Returnable :- It is very important feature of the bailment. The bailee should return the goods to the bailor or disposed according the directions of the bailor.
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  MCQ The contract ofguarantee is a contract in which a person perform the promise or discharge the liability of A. The contractor B. Stranger C.Third person D. None of above
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  MCQ In contract ofguarantee the person who gives guarantee is called A. Surety B. Principal debtor C. Both (a) and (b) D. None of above
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   In contractof guarantee the person at whose place guarantee given is called  A. Surety holder B. Principal debtor  C. Both (a) and (b) D. None of above
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  MCQ A continuing guaranteemay at any time be revoked by the surety as to future transaction by giving notice to A. The creditor B. B. Principal debtor C. Without giving any notice to any person D. None of above
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  THANK YOU