Read the full set here, or use the practice card above to test yourself one question at a time.
Section 70 gives a remedy when a lawful act is done for another person, provided:
Explanation. Section 70 requires the act to be non-gratuitous and the other person to have knowingly enjoyed its benefit.
In illustration (b) to Section 70, A saves B's property from fire. A is entitled to compensation:
Explanation. If circumstances show A intended to act gratuitously, no compensation is due, regardless of the benefit B received.
In State of West Bengal v. B.K. Mondal & Sons, the Supreme Court held that Section 70 applies:
Explanation. The Court held Section 70 does not require any contract at all — it applies precisely where no valid contract exists but a benefit was accepted.
The three-part test under Section 70 requires:
Explanation. The three conditions are a lawful act or delivery, not intended gratuitously, and the benefit knowingly enjoyed by the other party.
A gratuitous act, for Section 70 purposes, is one:
Explanation. A gratuitous act is done as a favour or gift, with no expectation of compensation, and gives rise to no Section 70 claim.
In illustration (a) to Section 70, a tradesman leaves goods at B's house by mistake, and B treats them as his own. B is:
Explanation. Since B knowingly treated and used the goods as his own, he is bound to pay the tradesman for them under Section 70.