THE INDIAN CONTRACT ACT, 1872

Section 178 – THE INDIAN CONTRACT ACT, 1872

Pledge by mercantile agent —Where a mercantile agent is, with the consent of the owner, in possession of goods or the document of title to goods, any pledge made by him, when acting in the ordinary course of business of a mercantile agent, shall be as valid as if he were expressly authorised by the […]

Section 177 – THE INDIAN CONTRACT ACT, 1872

Defaulting pawner’s right to redeem If a time is stipulated for the payment of the debt, of performance of the promise, for which the pledge is made, and the pawnor makes default in payment of the debt or performance of the promise at the stipulated time, he may redeem the goods pledged at any subsequent

Section 176 – THE INDIAN CONTRACT ACT, 1872

Pawnee’s right where pawnor makes default If the pawnor makes default in payment of the debt, or performance, at the stipulated time of the promise, in respect of which the goods were pledged, the pawnee may bring a suit against the pawnor upon the debt or promise, and retain the goods pledge as a collateral

Section 175 – THE INDIAN CONTRACT ACT, 1872

Pawnee’s right as to extraordinary expenses incurred The pawnee is entitled to receive from the pawnor extraordinary expenses incurred by him for the preservation of the goods pledged. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax Appeal | Income Tax Notice | GST Registration | GST Return

Section 174 – THE INDIAN CONTRACT ACT, 1872

Pawnee not to retain for debt or promise other than that for which goods pledged. Presumption in case of subsequent advances The pawnee shall not, in the absence of a contract to that effect, retain the goods pledged for any debt or promise other than the debt or promise for which they are pledged; but

Section 173 – THE INDIAN CONTRACT ACT, 1872

Pawnee’s right of retainer The pawnee may retain the goods pledged, not only for payment of the debt or the performance of the promise, but for the interest of the debt, and all necessary expenses incurred by him in respect of the possession or for the preservation of the goods pledged. Practice area’s of B

Section 172 – THE INDIAN CONTRACT ACT, 1872

“Pledge” “pawnor”, and “pawnee” defined The bailment of goods as security for payment of a debt or performance of a promise is called “pledge”. The bailor is in this case called the “pawnor”. The bailee is called the “pawnee”. Practice area’s of B K Goyal & Co LLP Income Tax Return Filing | Income Tax

Section 171 – THE INDIAN CONTRACT ACT, 1872

General lien of bankers, factors, wharfingers, attorneys and policy-brokers Bankers, factors, wharfingers, attorneys of a High Court and policy-brokers may, in the absence of a contract to thecontrary, retain as a security for a general balance of account, any goods bailed to them; but no other persons have a right to retain, as a security

Section 170 – THE INDIAN CONTRACT ACT, 1872

Bailee’s particular lien Where the bailee has, in accordance with the purpose of the bailment, rendered any service involving the exercise of labour or skill in respect of the goods bailed, he has, in the absence of a contract to the contrary, a right to retain such goods until he receives due remuneration for the

Section 169 – THE INDIAN CONTRACT ACT, 1872

When finder of thing commonly on sale may sell it When a thing which is commonly the subject of sale is lost, if the owner cannot with reasonable diligence be found, or if he refuses, upon demand, to pay the lawful charges of the finder, the finder may sell it—(1) when the thing is in