Enforcement and consequences of agent‟s contracts
Chapter 11: Agency
Contracts entered into through an agent, and obligations arising from acts done by an agent, may be enforced in the same manner, and will have the same legal consequences, as if the contracts had been entered into and the acts done by the principal in person.
Illustrations.
(a)A buys goods from B, knowing that he is an agent for their sale, but not knowing who is the principal. B‟s principal is the person entitled to claim from A the price of the goods, and A cannot, in a suit by the principal, set-off against that claim a debt due to himself from B. (b)A, being B‟s agent, with authority to receive money on his behalf, receives from C a sum of money due to B. C is discharged of his obligation to pay the sum in question to B.
The Indian Contract Act, 1872 (Act No. 9 of 1872). From the updated text on India Code, with later amendments. Being checked against the official copy; amendment notes are not shown yet.
Related sections
- 223Agent to be indemnified against consequences of acts done in good faith
- 224Non-liability of employer of agent to do a criminal act
- 225Compensation to agent for injury caused by principal‟s neglect
- 227Principal how far bound, when agent exceeds authority
- 228Principal not bound when excess of agent‟s authority is not separable
- 229Consequences of notice given to agent