A bailment in which both the bailee and bailor derive some benefit, and, as a result, each has rights and duties, is known as a:
A) bailment for the sole benefit of the bailor.
B) mutual-benefit bailment.
C) bailment for the sole benefit of the bailee.
D) constructive bailment.

Question

Quizplus · Accepted Answer

A mutual-benefit bailment involves both the bailee and bailor receiving some sort of benefit from the arrangement, such as payment for services rendered or the use of property. Both parties have rights and duties in this type of bailment. A bailment for the sole benefit of the bailor would not involve any benefit for the bailee, while a bailment for the sole benefit of the bailee would not provide any benefit for the bailor. Constructive bailment refers to a situation where possession of property is assumed by the law, such as in the case of a lost or abandoned item.

A Bailment in Which Both the Bailee and Bailor Derive