In a bailor/bailee relationship, what role does the bank serve?

In a bailor/bailee relationship, the bank serves as the bailee when it takes possession of customers' property for safekeeping or management. The bailee is responsible for holding and protecting the property of another party (the bailor) and must act in the best interests of the bailor while the property is in its custody.

In this context, when customers deposit valuables or assets with the bank—such as cash, jewelry, or important documents—the bank assumes the role of the bailee. This relationship implies that the bank has a duty to care for the property and return it upon request, indicating a trust-based relationship where the bailor relies on the bailee for the safekeeping of their assets.

The understanding of these roles is critical in establishing the legal responsibilities and liabilities of the parties involved. The bank, as a bailee, has a duty of care to ensure the security and integrity of the customers' items while they are in its possession, which includes adhering to appropriate safety and operational standards.