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CHAPTER IX OF BAILMENT

Section 154: Liability of bailee making unauthorized use of goods bailed

The Indian Contract Act, 1872

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.

Illustrations

(a)A lends a horse to B for his own riding only. B allows C, a member of his family, to ride the horse. C rides with care, but the horse accidentally falls and is injured. B is liable to make compensation to A for the injury done to the horse.

(b)A hires a horse in Calcutta from B expressly to march to Benares. A rides with due care, but marches to Cuttack instead. The horse accidentally falls and is injured. A is liable to make compensation to B for the injury to the horse.

Questions on this section

1 question in 4 of our papers cite Section 154. Try these from the free papers:

  1. 1. Under Section 154 of the Indian Contract Act, 1872, a bailee who makes any use of the goods bailed which is not according to the conditions of the bailment is liable to compensate the bailor for:

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