Legal Reasoning Questions for CLAT | QB Set 61

Riya gave her gold necklace to a jewellery shop for polishing before her sister’s wedding. The shop owner, Mr. Arvind, accepted the necklace and promised to return it within three days after completing the work. During this period, the necklace remained in the custody of the jewellery shop, but the ownership still belonged to Riya. One evening, an employee of the shop wore the necklace to a private party without permission. Unfortunately, the necklace was misplaced during the event. 

Riya later demanded compensation, arguing that the jewellery shop had failed to exercise proper care over her property. Mr. Arvind claimed that the loss was accidental and denied responsibility. Meanwhile, another customer, Kunal, had left his laptop at a repair centre where the technician safely repaired and returned it on time. 

These situations show how bailment creates legal duties between parties. The person receiving the goods must protect them with reasonable care and return them once the agreed purpose is completed. Failure to do so may result in legal liability under the law of contracts.

1. Aarav leaves his watch with Neha’s repair shop for fixing. Neha’s employee uses the watch during a cricket match and damages it. What is the most appropriate legal position?

A. Aarav loses ownership of the watch during repair

B. Neha can use the watch freely during the repair period

C. Neha’s repair shop may be liable for failure to take proper care of the watch

D. The employee becomes the owner after using the watch

2. Meera hands over her suitcase to a hotel cloakroom for safekeeping. The hotel stores it carefully and returns it safely after two days. Which statement best describes this relationship?

A. A bailment was created because possession was transferred for a specific purpose

B. The hotel became the owner of the suitcase temporarily

C. The suitcase was abandoned by Meera

D. No legal relationship existed between the parties

3. Rohit gives his bicycle to his friend Kabir without taking any payment so that Kabir can use it for one day. What type of bailment is this?

A. Constructive bailment

B. Involuntary bailment

C. Commercial bailment

D. Gratuitous bailment

4. Simran leaves her car at a service centre for repairs. The mechanic repairs the car and charges a fee for the service. What kind of bailment exists here?

A. Gratuitous bailment because no ownership is transferred

B. Mutual-benefit bailment because both parties receive benefits

C. Constructive bailment because the car was delivered voluntarily

D. Implied bailment because there was no agreement

5. Tanya leaves her camera with a photography studio for maintenance. The studio stores it carelessly near water, causing permanent damage. Who is most likely responsible?

A. The studio may be liable because it failed to exercise reasonable care over the camera

B. Tanya alone is responsible because she handed over the camera voluntarily

C. Nobody is responsible because the damage was accidental

D. Responsibility is automatically shared equally between Tanya and the studio

Answers and Detailed Explanations

1. C. Neha’s repair shop may be liable for failure to take proper care of the watch

In a contract of bailment, the bailee must take reasonable care of the goods. Using the watch for personal purposes amounts to misuse of the bailed property and may make the repair shop liable for the damage caused.

2. A. A bailment was created because possession was transferred for a specific purpose

A valid bailment arises when goods are delivered for a temporary purpose with the understanding that they will later be returned. Meera transferred possession, not ownership, to the hotel.

3. D. Gratuitous bailment

This is a gratuitous bailment because Rohit allowed Kabir to use the bicycle without receiving any payment or benefit in return.

4. B. Mutual-benefit bailment because both parties receive benefits

A service centre repairing a car for payment creates a mutual-benefit bailment. The owner benefits from the repair service, while the mechanic benefits through payment.

5. A. The studio may be liable because it failed to exercise reasonable care over the camera

The bailee has a duty to protect the goods with reasonable care. Keeping the camera near water shows negligence, making the photography studio liable for the damage caused during the bailment period.