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You have found a valuable diamond in front of your college. Later, you gave it to your friend for the purpose of entrusting it to true owner. But the true owner was not found. Here

Question and options

You have found a valuable diamond in front of your college. Later, you gave it to your friend for the purpose of entrusting it to true owner. But the true owner was not found. Here
  1. the diamond belongs to you
  2. you should share the diamond with your friend
  3. you should entrust it to the government
  4. None of the given options is correct

Answer and explanation

Correct answer: A - the diamond belongs to you
A finder of goods has a better title than everyone except the true owner (Armory v Delamirie), and under section 71 of the Indian Contract Act, 1872 a finder who takes the goods into custody has the responsibilities of a bailee. Since the true owner could not be found, the diamond belongs to you as finder; your friend held it only on your behalf, so he has no claim to a share.

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