alleryStart learning →Sale proceeds of pledged goods are less than the debt. The pawnor is:
ADischarged from the whole debt
BLiable to pay the balance
CLiable only for half the balance
DLiable only if the pawnee sues first
Answer & Solution
Correct answer: B. Liable to pay the balance
Section 176 keeps the pawnor liable for any shortfall when the sale proceeds do not cover the amount due.
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