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HomeCA FoundationbusinesslawBailment and Pledge › Under Section 163, in the absence of a contrary …

Under Section 163, in the absence of a contrary contract, any increase or profit accruing from the bailed goods (e.g. a calf born to a bailed cow) must be:

ASurrendered to the state
BDelivered to the bailor along with the goods
CSold and the proceeds shared
DRetained by the bailee
Answer & Solution
Correct answer: B. Delivered to the bailor along with the goods
Section 163 obliges the bailee to deliver to the bailor any accretion or profit from the goods, such as the calf of a bailed cow.
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