What is the nature of a lien? Describe the Particular lien and banker’s general line?




Nature of Lien:-

The lien or right of retention is the right of a person to retain what is possession, belong to another, until certain demands of the people in possession are satisfied. Second. 170 confers upon the assignee a lien on the property collected in exchange for remuneration due to him for services rendered involving the exercise of labor or skill with respect to the property collected. For example, A delivers a rough diamond to B, a jeweler, to cut and polish, which is done accordingly. B is entitled to retain the store until he is paid for the services he has provided.

A deposit or bailment for the client does not give a right of lien. This right cannot be exercised unless the service has been provided and the remuneration is due. This lien extends only to major personal property placed in your hands to be worked on and not to occasional material that may have been provided by the employer and left on the dealership premises unused.

The particular line extends only to the value of the work done on the particular thing and not to the general account balance of other claims, which the depositary or bailee may have against the bond or bailor. The player's particular lien can be exercised on all the goods delivered in a single contract at different times. But it cannot be exercised if the remuneration has not yet been made payable, or if the service has been partially provided. The depositary's private lien does not extend to remuneration for services other than those rendered for the assets collected.

General Lien:- 

A general lien entitles a person in possession of property to retain it until all claims or accounts of the person in possession against the owner of the property are satisfied. He can stop assets for a general balance account. Section 171 authorizes bankers, factors, wharfingers, High Court attorneys, and policy brokers to withhold assets as collateral for a general account balance.

It is a right to detain property belonging to another not only for the payment of the debtor's liability incurred with respect to the salvaged property, but also for any general account balance that remains between the owner and the person who detained them, either with respect to to the same goods or any other good. The lien conferred on board is not a general lien but a lien on specific goods. [Board of Trustees v. Shriyansh Knitters, A.I.R. 1983 Bombay 88].

The general lien of bankers applies to all kinds of assets and securities deposited with them as bankers, either by a client himself or by any other person on his behalf, if there is no contract, express or implied, by the contrary. [Krishan Kishore v. United Commercial Bank, A.I.R. 1982 Cal. 62].


Private or Particular lien :-

According to section 170 of the Indian Contract Act, 1872, the private lien or particular lien is defined as the right of a person to retain private property that has been lent to him as collateral, for non-payment of fees.

In accordance with the objective of the bailment, when the bailee or employee has employed skills or labor and has improved the assets collected from him / her. He / she has the right to be considered for his / her service, and if the trust refuses to pay the amount, then he / she can retain the assets, in exchange for remuneration.

In such case, the depositary or bailee is entitled to the particular lien until it receives compensation for the services provided, provided that the services are rendered in full within the stipulated time. Furthermore, the depositary has no right to sue the bond. 

On the other hand, if the bailee hands over the property belonging to the agent or bailor without any consideration for the services provided, he / she can sue the agent and the particular lien can be waived.


Example 1:
A gave some gold to B, a goldsmith for the purpose of making ornaments. B made the decorations. Here, B is entitled to withhold decorations until he is paid for the services he has rendered.

Example 2
A handed over a car to B, a mechanic for repair. B repaired the car. Here B can hold the car until the repair costs are paid.

Conditions to be met during the exercise of a particular lien

Before a bailee or an assignee can exercise their private or particular lien, certain conditions must be met. They are as follows:

The bailee must have provided some services that imply the exercise of labor or skill with respect to the collected goods. The bailee must have performed the services in full.

The labor or skill exerted by the dealer should have resulted in the improvement of the salvaged assets. If there is no improvement, there is no lien.

The labor or skill must have been exercised in accordance with the object of the bond.

Under a particular lien, a depositary may retain only those assets on which he performed work or skill. Therefore, a person who simply takes an animal to graze, is not entitled to a lien on it.

The right of lien does not accumulate until the services have been rendered and the remuneration has expired. However, if the beneficiary agreed to perform the services on credit, he may not exercise the right of retention until the expiration of the credit period.

The possession of assets by the depositary or bailee is essential to constitute a lien. If possession is lost, the embargo will disappear.

The depositary or bailee can exercise this right of retention as long as there is no contract to the contrary. Therefore, if there is a contract to the contrary, the bailee or concessionaire does not have a right of retention on the goods collected for a pending remuneration for the services that he has rendered with respect to them

If all the conditions mentioned above are fulfilled, the depositary can exercise his private lien right until he is paid for his services.


Describe the Difference between General lien and Private or Particular lien in detail:

1. General lien can be described as the right granted to a person to retain possession of property belonging to another person against the general account balance. Rather, the particular lien can be understood as the right of an individual to hold specific assets on bond, until the fees related to those assets are discharged.

2. A general lien is available for any product, for which claims are not satisfied. Rather, the particular lien is available only against the assets for which the player has expended his skill and labor.

3. The general lien is not automatic, but is recognized by agreement, while the particular lien is automatic.

4. The owner of the property has no right to sell the property to download the unpaid amount, in the case of a general lien. On the other hand, in the case of a private lien, the depositary cannot sell the goods to carry out its debts, however, under special conditions, the right is conferred.

5. The general levy is most commonly exercised by bankers, wharfingers, factors, policy makers, lawyers, etc. In contrast to this, the private lien is used by a seller, unpaid seller, property finder, pin, partner, agent, etc.







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