The case study “Parking Lot’s Liability” is an actual court case, Allright, Inc. v. Strauder. Plaintiff brought suit alleging that as a result of defendant's negligence, his automobile was stolen from a parking lot operated by defendant.
Signs were located throughout the parking lot which stated that the lot closed at 6 o'clock p.m. and that anyone returning after that time could pick up their keys at another parking lot operated by the defendant at a another location. He was aware of the time when he left the car at the station and that the signs and the claim ticket said the lot closed at 6 o'clock. So indeed a bailment was created. The definition of bailment is a transaction in which an owner transfers his or her personal property (in this case his car) to another to be held, stored, delivered, or for some other purpose. Title to the property does not transfer. (Cheeseman, 2010) The plaintiff gave his keys to the defendant’s employee expecting the defendant’s company to park and store the car until the plaintiff returned for it, at which time the plaintiff would pay for the services obtained.
This is considered a mutual benefit bailment. A bailment for the mutual benefit of the parties is created when there is an exchange of performances between the parties. A bailment for the repair of an item is a bailment for mutual benefit when the bailee receives a fee in exchange for his or her work. (legal-dictionary.com, 2013) Three elements are generally necessary for the existence of a bailment: delivery, acceptance, and consideration. In a bailment for mutual benefit, the bailee must take reasonable care of the bailed property.
Bailment duties generally include the duty of reasonable care and the duty to return the property. A bailee who fails to do so may be held liable for any damages incurred from his or her Negligence. When a bailor receives the sole benefit from the bailment, the bailee has a lesser duty to care...