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A takes Z’s movable property in good faith, believing it belongs to A. After discovering the mistake, A…

"Section 314" governs, as its first illustration distinguishes an innocent initial taking from later dishonest appropriation after discovering the mistake. The initial…

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A takes Z’s movable property in good faith, believing it belongs to A. After discovering the mistake, A dishonestly appropriates it to A’s own use. Which BNS provision governs that later appropriation?

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Correct answer C

"Section 314" governs, as its first illustration distinguishes an innocent initial taking from later dishonest appropriation after discovering the mistake. The initial absence of dishonest intent excludes theft under "Section 303" on those facts. No fear-induced delivery under "Section 308" or entrustment under "Section 316" is stated.

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