If a bailment is for the sole benefit of the bailee, the bailor has no obligation to inform the bailee of known defects.

Question

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Even if the bailment is for the sole benefit of the bailee, the bailor still has a duty to disclose any known defects in the bailed property. This is based on the legal principle of caveat emptor ("let the buyer/bailee beware"), which means that the bailee assumes some risk when accepting the property but still has a right to know about any defects that may affect its use or value.

If a Bailment Is for the Sole Benefit of the Bailee