LOAN (AS. bin, Irrn. OWL Oran, Ger. Lchca, /Ain, loan; connected with (loth, /riluran, Von, 011G. lihan, Ger. leihen, to lend, Ofr.
I leave, Lith. Let. (ingurrc, Gk. Xchrew, Ski, rich, to leave). In law. 'loan' sig nifies either the delivery of money or any personal property by one person to another for which an equivalent return in kind is to be made. or the bailment of a personal chattel to be specifically returned to the person snaking the loan. (See BAILMENT.) An lanDOrtant list inetion to be noted between the two classes of loans is that in the first title to the property lent passes to the borrower and the person making the loan has only a contract right• in the case of personal Property, to recover damages if the borrower fails to pay, or in a proper case he may compel specific performance (q.v.). and in the ease of money to recover in an action of debt. In the second class the borrower or bailor aequires pos session only and not the title of the property borrowed, and the lender may compel a return of the property lent by an action in replevin or recover damages for its eonversion (see 'IRO' VER ) if the borrower fails to return it.
The second ebtss of loans may belong either to the class of bailments for the mutual benefit of the bailor and bailee, in which case the bailee is bound to exereise due care for the safety of the property lent—that is, such care as a prudent man would take of his own property—or they may belong to the (-lass of gratuitous bailments, the delivery of an article to the bailee, for his use, without compensation, and on condition of its return to the bailor. As this kind of bailment is
entirely to the advantage of the bailee, bound to 11-,e extraordinary care, and is respon sible for slight negligence in the use of the bail ment. lie is not responsible tor the natural de terioration by ordinary wear and tear of the article delivered. but with that exception must return the article to the bailor in as good •ondi tion as when it was received. The diligence to which the bailee is held in the care of the prop erty depends upon its character and value, and the dangers to which it is exposed. See BAIL MENT. Consult the authorities referred to under CONTRACT.
LOANDA, 16-1ill'dn, SAINT PAUL DE. A sea port of Africa. See SAINT PAUL DE LUANDA.