CHAPTER 2. Loan for Exchange [1902 - 1906]
( Chapter 2 enacted 1872. )
A loan for exchange is a contract by which one delivers personal property to another, and the latter agrees to return to the lender a similar thing at a future time, without reward for its use.
(Enacted 1872.)
A loan, which the borrower is allowed by the lender to treat as a loan for use, or for exchange, at his option, is subject to all the provisions of this Chapter.
(Enacted 1872.)
By a loan for exchange the title to the thing lent is transferred to the borrower, and he must bear all its expenses, and is entitled to all its increase.
(Enacted 1872.)
A lender for exchange cannot require the borrower to fulfill his obligations at a time, or in a manner, different from that which was originally agreed upon.
(Enacted 1872.)
Sections 1893, 1895, and 1896, apply to a loan for exchange.
(Enacted 1872.)