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<h1>Bailee's Right to Retain Goods: Section 170 of Indian Contract Act, 1872 Explained with Examples</h1> Under Section 170 of the Indian Contract Act, 1872, a bailee who has performed services involving labor or skill on bailed goods has the right to retain those goods until receiving payment for the services, unless a contract specifies otherwise. For example, if a jeweler cuts and polishes a diamond, they can hold the diamond until paid. However, if a tailor agrees to provide a coat with a credit period, they cannot retain the coat until payment is made.