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The person delivering the goods is called the "bailor". The person to whom they are delivered is called the "bailee'.
The bailee's duties are based on a mixture of tort law and contract law and include two basic responsibilities: (1) to take appropriate care of the property, (2) to surrender the property to the bailor or dispose of it in accordance with the bailor's instructions at the end of the bailment.
The custodian or holder of the property, who's responsible for the safe keeping and return of the property, is know as the "bailee." The person who delivers or transfers the property to the bailee is known as the "bailor."
The duty of the bailee is to return the goods without demand on the accomplishment of the purpose or the expiration of the time period. In case of his failure to do so, he shall be liable for the loss, destruction, deterioration, damages or destruction of goods even without negligence.
The bailee, in the absence of any special contract, is not responsible for the loss, destruction or deterioration of the thing bailed, if he has taken the amount of care of it described in section 151. S. 152 Thus, Bailee is to- (i) Bound to take reasonable care of the goods bailed to him.
The duty of the bailee is to return the goods without demand on the accomplishment of the purpose or the expiration of the time period. In case of his failure to do so, he shall be liable for the loss, destruction, deterioration, damages or destruction of goods even without negligence.
It is well established now that Bailee will be liable for any loss or damage to the bailor which arises due to the negligence or lack of reasonable care of the goods bailed.
The bailee is liable for all injuries to the property from failure to properly care for or use it. Once the purpose of the bailment has been completed, the bailee usually must return the property to the bailor, or account for it, depending upon the terms of the contract.
In either case reasonable disclaimers of liability are allowed. If the bailed goods need repair while in the bailee's possession, the usual rule is that ordinary repairs are the bailee's responsibility, extraordinary ones the bailor's. Bailees are entitled to liens to enforce payment owing to them.
1. Right to recover charges:-If the bailment is non-gratuitous, Bailee has right to recover agreed charges. If charges is not fix or agreed. Then Bailee can recover reasonable charges or charge which is charged by other bailee.