Difference/ Distinction between Bailment and Contract of sale :

                       Following are the notable distinctions between Bailment and Contract of sale...



No

           Bailment

                 Sale

1

Meaning :

Bailment means change of possession voluntarily from one person to another

Meaning :

Sale literally means “transfer of absolute interest in property (it may be movable or immovable) from one person to another in lawful consideration of price paid.


2

Object :

 The object of Bailment is temporary possession of the goods in the hands of the Bailee

Object :

The object of sale is permanent transfer to the purchaser.


3

In Bailment the ownership does not change. The Bailor is the owner of the goods before, during and after the period of Bailment. 

In contract of sale, the Purchaser becomes owner. The seller does not possess any connection with the property sold.

5

In Bailment, the Bailor pays some nominal charges to the Bailee for the services rendered by him. Sometimes, he is not required to pay any charges.  

In contract of sale, the transferee shall have to pay the full market value of the property to buy property.

6

The Bailee  cannot appropriate the property bailed to him.  

The purchaser can appropriate the property purchased by him.

5

In bailment, on certain occasions, the Bailee can exercise his right of lien over the goods bailed.   

In contract of sale, The seller of the property has no such right of lien. However, an unpaid seller of goods can exercise lien or stoppage in transit  


 

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