In a pledge under the Indian Contract Act, the bailor is called the:
APawnee
BSurety
CPrincipal
DPawnor
Answer & Solution
Correct answer: D. Pawnor
1. Section 172 names the parties to a pledge.
2. The bailor (who pledges the goods) is called the pawnor or pledgor.
3. The bailee (who holds the pledged goods) is called the pawnee or pledgee.
_Source: ICMAI BoS CMA Foundation Paper 1 (Business Laws), Module 2 §2.7 (Indemnity/Guarantee/Pledge/Agent), p. 91-99_
Related questions
Section 178 permits a pledge by a mercantile agent (with possession and consent of the ownIf the pawnor defaults, Section 176 entitles the pawnee to:Under Section 173, a pawnee may retain pledged goods for all of the following EXCEPT:Pledge, as defined in Section 172, is the bailment of goods as security for: