Section 70 The Indian Contract Act, 1872
Here is the detailed explanation of Section 71 of the Indian Contract Act, 1872:
📘 Section 71 – Responsibility of Finder of Goods
“A person who finds goods belonging to another, and takes them into his custody, is subject to the same responsibility as a bailee.”
✅ Explanation:
If someone finds a lost item and takes possession of it, the law imposes certain duties and responsibilities on that person — similar to those of a bailee (defined in Sections 148–171).
In simple terms, you can't just keep what you find — you're legally bound to:
Take reasonable care of the item,
Try to return it to the rightful owner,
Not use or dispose of it for personal gain.
📌 Duties of Finder (like a bailee):
Take reasonable care of the goods.
Not to use the goods for personal use.
Make reasonable efforts to find the true owner.
Return the goods when the owner is found.
Cannot deny the owner’s title.
🧠 Example:
If A finds B’s lost wallet and keeps it, A becomes a finder under Section 71.
If A spends the money, he may be liable for misappropriation.
If he loses the wallet due to negligence, he must compensate B.
⚖️ Case Law Example:
Hollins v. Fowler (1875) – Though not Indian, it reflects a similar principle where someone who deals with goods not belonging to him without authority can be held liable.
📝 Note:
If the finder makes no attempt to find the owner, or misuses the item, he may be charged under criminal law (like theft or criminal misappropriation under IPC).
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