Section 154 Indian Contract Act 1872
Section 154 of the Indian Contract Act 1872 is about Liability of bailee making unauthorized use of goods bailed. It is under CHAPTER IX of the Act. CHAPTER IX is titled OF BAILMENT.
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.
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 clue 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.
See also:
Section 153 Indian Contract Act 1872 (Termination of bailment by bailee’s act inconsistent with conditions)
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