March 9, 2024

Section 158 – THE INDIAN CONTRACT ACT, 1872

Repayment, by bailor, of necessary expenses Where, by the conditions of the bailment, the goods are to be kept or to be carried, or to have work done upon them by the bailee for the bailor, and the bailee is to receive no remuneration, the bailor shall repay to the bailee the necessary expenses incurred […]

Section 157 – THE INDIAN CONTRACT ACT, 1872

Effect of mixture, without bailor’s consent, when the goods cannot be separated. —If the bailee, without the consent of the bailor, mixes the goods of the bailor with his own goods, in such amanner that it is impossible to separate the goods bailed from the other goods, and deliver them back, thebailor is entitled to

Section 156 – THE INDIAN CONTRACT ACT, 1872

Effect of mixture, without bailor’s consent, when the goods can be separated If the bailee, without the consent of the bailor, mixes the goods of the bailor with his own goods, and the goods can beseparated or divided, the property in the goods remains in the parties respectively; but the bailee is boundto bear the

Section 155 – THE INDIAN CONTRACT ACT, 1872

Effect of mixture, with bailor’s consent, of his goods with bailee’s If the bailee, with the consent of the bailor, mixes the goods of the bailor with his own goods, the bailor and the bailee shall have an interest, in proportion to their respective shares, in the mixture thus produced. Practice area’s of B K

Section 154 – THE INDIAN CONTRACT ACT, 1872

Liability of bailee making unauthorized use of goods bailed If the bailee makes any use of the goods bailed which is not according to the conditions of the bailment, he is liable to make compensation to the bailor for any damage arising to the goods from or during such use of them (a) A lends

Section 153 – THE INDIAN CONTRACT ACT, 1872

Termination of bailment by bailee’s act inconsistent with conditions A contract of bailment is avoidable at the option of the bailor, if the bailee does any act with regard to the goods bailed,inconsistent with the conditions of the bailment.IllustrationA lets to B, for hire, a horse for his own riding. B drives the horse in

Section 152 – THE INDIAN CONTRACT ACT, 1872

Bailee when not liable for loss, etc., of thing bailed The bailee, in the absence of any special contract, is not responsible for the loss, destruction or deterioration of the thing bailed, if he has taken the amount of care of it described in section 151 Practice area’s of B K Goyal & Co LLP

Section 151 – THE INDIAN CONTRACT ACT, 1872

Care to be taken by bailee In all cases of bailment the bailee is bound to take as much care of the goods bailed to him as a man of ordinary prudence would, under similar circumstances, take of his own goods of the same bulk, quality and value as the goods bailed Practice area’s of

Section 150 – THE INDIAN CONTRACT ACT, 1872

Bailor’s duty to disclose faults in goods bailed The bailor is bound to disclose to the bailee faults in the goods bailed, of which the bailor is aware, and which materially interfere with the use of them, or expose the bailee to extraordinary risks; and if he does not make such disclosure, he is responsible

Section 149 – THE INDIAN CONTRACT ACT, 1872

Delivery to bailee how made The delivery to the bailee may be made by doing anything which has the effect of putting the goods in the possession of the intended bailee or of any person authorized to hold them on his behalf Practice area’s of B K Goyal & Co LLP Income Tax Return Filing