I. On the basis of the benefit derived by the parties :

1. Bailment for the benefit of the bailor alone:

Where a person delivers his goods for safe custody with his relatives or friends without any reward. For example, A while going out of station, leaves his scooter with his friend, B, for safe custody.

2. Bailment for the benefit of the bailment alone:

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Where goods are lent for the use of friends and relatives. For example, A borrows B’s books for a week.

3. Bailment for the mutual benefit of both the bailor and the bailee:

Where goods are bailed for reward or some consideration then the bailment is for the benefit of both the parties.

Example:

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(1) A hires a taxi from B.

(2) A gives his radio for repair to a radio dealer.

II. On the basis of reward or consideration :

1. Gratuitous Bailment:

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A bailment without any reward or consideration is called gratuitous bailment. For example, A while going out of station, leaves his cycle with his friend B. B is not to get any reward in this case.

2. Non-gratuitous Bailment:

A bailment for reward or hire is a non-gratuitous bailment. For example, A gives his watch for repair.