Legal World

Section 150 Contract Act — Bailor’s duty to d isclose faults in goods bailed

The Indian Contract Act, 1872 · Official PDF page 39

Open in NyayaOfficial PDF, page 39

150.Bailor’s duty to d isclose 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 for damage arising to the bailee directly from such faults. If the goods are bailed for hire, the bailor is responsible for such damage , whether he was or was not aware of the existence of such faults in the goods bailed.

Illustrations (a)A lends a horse, which he knows to be vicious, to B. He does not disclose the fact that the horse is vicious. The horse runs away. B is thrown and injured. A is responsible to B for damage sustained. (b)A hires a carriage of B. The carriage is unsafe, though B is not aware of it, and A is injured. B is r esponsible to A for the injury. 1151. Care to be taken by bailee .—In all cases of bailment the bai lee 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 bailed2.

Text extracted from the official PDF (India Code source copy; consolidation date not certified). Line breaks and footnote marks may differ; the PDF is the authority.

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