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Bankers Lien
#1
Lien is the right of the banker to retain possession of the goods and securities owned by the debtor until the debt due from the latter is paid. the bankers lien is an implied pledge. a banker acquires the right to sell the goods which came into his possession in the ordinary course of banking business in case the debt is not paid.

Section 171 if indian contract act, 1872 gives to the banker an absolute rigth of general lien on all goods and securities received by the banker.

Lien is of two type 1. general 2. special lien.

where is right can apply
1. To sell
2. To specific person
3. Against the customer

where a right cannot apply
1. Safe custody articles
2. documents/ money deposited for specific purposes
3. article left negligently in bank premises
4. immature debts
5. stolen goods
6. no simultaneous right to bank
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