What can I do with the abandoned property left a my store by customers?
Full Question:
Answer:
When a person who is not a landlord agrees to hold property for another, a bailment is created. When the person holding the property, called the bailee, is not being compensated, it is called a gratutous bailment and the bailee must use reasonable care to protect the property.
There are different types of bailments- "bailments for hire" in which the custodian (bailee) is paid, "constructive bailment" when the circumstances create an obligation upon the custodian to protect the goods, and "gratuitous bailment" in which there is no payment, but the bailee is still responsible. There is a lower standard of care imposed upon the bailee in a gratuitous bailment, and the parties may contract to hold the bailee free from liability in any bailment. As the law of bailments establishes a lower standard of care for the bailee in a gratuitous bailment agreement, such an agreement or receipt should indicate explicitly that the bailee is acting without compensation. When a bailment is for the exclusive benefit of the bailee, the bailee owes a duty of extraordinary care. If the bailment is for the mutual benefit of the bailee and bailor, the bailee owes a duty of ordinary care. A gratuitous bailee must use only slight care and is liable only for gross negligence. To create a bailment, the alleged bailee must have actual physical control with the intent to possess. Physical control and intent to possess will be interpreted according to the expectations of the parties. If a court thinks that liability would be unexpected or unfair, it can usually find that the defendant did not have “physical control” or “intent to possess.” For example, courts are more likely to find a bailment of a car exists in a garage with an attendant than in a park and lock garage.
Please see the following IN statutes to determine applicability:
IC 32-33-9-1 If a person entrusts to a mechanic or tradesman materials....
If a person entrusts to a mechanic or tradesman materials to construct,
alter, or repair an article of value, the mechanic or tradesman, if the
construction, alteration, or repair is completed and not taken away and the
mechanic's or tradesman's fair and reasonable charges not paid, may, after
sixty (60) days after the charges became due:
(1) sell the article of value; or
(2) if the article of value is susceptible of division, without injury,
may sell as much of the article of value as is necessary to pay the
charges.
IC 32-33-9-2 Before a sale under section 1 of this chapter, the
mechanic....
Before a sale under section 1 of this chapter, the mechanic or tradesman
must give notice of the amount due and the time and place of the sale by
mailing a certified or registered letter, return receipt requested, to the
last known address of the entrusting person or owner at least thirty (30)
days before the date of the sale.
IC 32-33-9-3 (a) The proceeds of a sale that takes place under section
1....
(a) The proceeds of a sale that takes place under section 1 of this
chapter, after payment of charges for construction or repair and for giving
notice by registered or certified mail, shall be:
(1) returned to the entrusting person or owner if the identity and
mailing address of the entrusting person or owner are known; or
(2) deposited with the treasurer of the county in which the construction
or repair work was performed.
(b) If the entrusting person or owner does not:
(1) claim the article within the thirty (30) days before the date of the
sale;
(2) pay for the construction, alteration, or repair; and
(3) provide reimbursement for the expenses of notification; the mechanic
or tradesman may proceed with the sale according to the terms of the
notice.
IC 32-33-9-6 Additional compensation for keeping and taking care of....
Additional compensation for keeping and taking care of property referred
to in section 5 of this chapter, if necessarily incurred, may be taken from
the proceeds of sale under section 5 of this chapter as part of the
charges.
IC 32-33-9-8 All mechanics, tradesmen, or bailees taking advantage of....
All mechanics, tradesmen, or bailees taking advantage of this chapter, at
the time of the entrusting, must issue a receipt to the person entrusting
the article to them. The receipt must conspicuously state, "All
articles left on the premises after work is completed may be sold for charges.".
