The correct answer is: A. is bound to return the goods under quasi-contractual obligations.
A quasi-contract is a legal obligation that arises from the unjust enrichment of one party at the expense of another. In this case, Mr. X has been enriched by Mr. Y’s possession of the goods, and Mr. Y has been unjustly deprived of them. Therefore, Mr. Y is under a quasi-contractual obligation to return the goods to Mr. X.
Option B is incorrect because there is an agreement between the two parties, even if it is an informal one. Mr. X has entrusted the goods to Mr. Y, and Mr. Y has accepted them. This creates an obligation on Mr. Y to return the goods.
Option C is incorrect because Mr. Y does not have the right to use the goods as his own. They belong to Mr. X, and Mr. Y must return them.
Option D is incorrect because Mr. Y is not under an obligation to make a fresh contract with Mr. X. The quasi-contractual obligation to return the goods arises from the existing relationship between the parties, and does not require a new contract.