Multiple choice

Bank cannot exercise its right of lien in case

(a) where goods have been received for safe custody (b) where the security has been deposited for a specific purpose (c) where debt has already fallen due (d) securities are left by the customer by mistake

  1. (a) to (d)

  2. (b), (a) and (d)

  3. (a), (b) and (d)

  4. (b), (c) and (d)

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A right of lien can be used when the debt has already become due.