A bailee who in good faith has received goods and delivered or otherwise disposed of them according to the terms of the document or pursuant to this title is not liable therefor. This rule applies even though (a) the person from whom he received the goods had no authority to procure the document or to dispose of the goods or (b) the person to whom he delivered the goods had no authority to receive them.

Ask a business law question, get an answer ASAP!
Thousands of highly rated, verified business lawyers.
Click here to chat with a lawyer about your rights.

Terms Used In Virginia Code 8.7-404

  • Bailee: means the person who by a warehouse receipt, bill of lading or other document acknowledges possession of goods and contracts to deliver them. See Virginia Code 8.7-102
  • Document: means document of title as defined in the general definitions in Virginia Code 8.7-102
  • Good faith: means honesty in fact and the observance of reasonable commercial standards of fair dealing. See Virginia Code 8.7-102
  • Goods: means all things that are treated as movable for the purposes of a contract of storage or transportation. See Virginia Code 8.7-102
  • Person: includes any individual, corporation, partnership, association, cooperative, limited liability company, trust, joint venture, government, political subdivision, or any other legal or commercial entity and any successor, representative, agent, agency, or instrumentality thereof. See Virginia Code 1-230

Code 1950, § 61-13; 1964, c. 219; 2004, c. 200.