Q-6 Explain the termination of bailment.
Ans: TERMINATION OF EVERY CONTRACT BAILMENT (WHETHER GRATUITOUS OR NOT)
Every contract of bailment comes to end under the following circumstances.
(a) ON THE EXPIRY OF FIXED PERIOD
A bailment is terminated on the expiry of fixed period if the goods are bailed for a fixed
(b) ON FULFILMENT OF THE PURPOSE
A bailment is terminated on the fulfillment of the purpose if the goods are bailed for a specific purpose.
(c) INCONSISTENT USE OF GOODS
A bailment may be terminated if the bailee does not use the goods according to the condition of the bailment.
(d) DESTRUCTION OF THE SUBJECT MA TTER OF BAILMENT
A bailment is terminated if the subject matter of the bailment (i) is destroyed, or (ii) becomes incapable of being used for bailment because of some change in the nature of goods.
II. TERMINATION OF GRATUITOUS BAILMENT
A contract of gratuitous bailment is terminated in the following circumstances also.
(a) BEFORE THE EXPIRTY OF A FIXED PERIOD
The bailor may terminate a gratuitous bailment at any time even though the bailment was for a fixed period. However, the bailor is required to indemnify the bailee in case the loss due to premature termination exceeds the benefit actually derived by the bailee.
(b) ON DEATH OF BAILOR / BAILEE
A gratuitous bailment is terminated by the death of either the bailor or bailee.
FINDER OF GOODS Next Post:
Describe the right and duties of the Bailor and Bailee