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The Indian Contract Act, 1872

Central
Act number
9 of 1872
Ministry
Ministry of Law and Justice
Department
Legislative Department
Enacted
25 Apr 1872
In force from
1 Sep 1872

Source: IndiaCode Portal, Legislative Department, Ministry of Law and Justice, Government of India. Open on India Code Check against the official text before relying on it.

268 sections

  1. Section 1Short title.
  2. Section 2Interpretation-clause.
  3. Section 3Communication, acceptance and revocation of proposals.
  4. Section 4Communication when complete.
  5. Section 5Revocation of proposals and acceptances.
  6. Section 6Revocation how made.
  7. Section 7Acceptance must be absolute.
  8. Section 8Acceptance by performing conditions, or receiving consideration.
  9. Section 9Promises, express and implied.
  10. Section 10What agreements are contracts.
  11. Section 11Who are competent to contract.
  12. Section 12What is a sound mind for the purposes of contracting.
  13. Section 13"Consent" defined.
  14. Section 14"Free consent" defined.
  15. Section 15"Coercion" defined.
  16. Section 16"Undue influence" defined.
  17. Section 17"Fraud" defined.
  18. Section 18"Misrepresentation" defined.
  19. Section 19Voidability of agreements without free consent.
  20. Section 19APower to set aside contract induced by undue influence.
  21. Section 20Agreement void where both parties are under mistake as to matter of fact.
  22. Section 21Effect of mistakes as to law.
  23. Section 22Contract caused by mistake of one party as to matter of fact.
  24. Section 23What considerations and objects are lawful, and what not.
  25. Section 24Agreement void, if considerations and objects unlawful in part.
  26. Section 25Agreement without consideration, void, unless it is in writing and registered, or is a promise to compensate for something done, or is a promise to pay a debt barred by limitation law.
  27. Section 26Agreement in restraint of marriage, void.
  28. Section 27Agreement in restraint of trade, void.
  29. Section 28Agreements in restraint of legal proceeding void.
  30. Section 29Agreements void for uncertainty.
  31. Section 30Agreements by way of wager, void.
  32. Section 31"Contingent contract" defined.
  33. Section 32Enforcement of contracts contingent on an event happening.
  34. Section 33Enforcement of contracts contingent on an event not happening.
  35. Section 34When event on which contract is contingent to be deemed impossible, if it is the future conduct of a living person.
  36. Section 35When contracts become void which are contingent on happening of specified event within fixed time . When contracts may be enforced, which are contingent on specified event not happening within fixed time.
  37. Section 36Agreement contingent on impossible events void.
  38. Section 37Obligation of parties to contracts.
  39. Section 38Effect of refusal to accept offer of performance.
  40. Section 39Effect of refusal of party to perform promise wholly.
  41. Section 40Person by whom promise is to be performed.
  42. Section 41Effect of accepting performance from third person.
  43. Section 42Devolution of joint liabilities.
  44. Section 43Any one of joint promisors may be compelled to perform.
  45. Section 44Effect of release of one joint promisor.
  46. Section 45Devolution of joint rights.
  47. Section 46Time for performance of promise, when no application is to be made and no time is specified.
  48. Section 47Time and place for performance of promise
  49. Section 48Application for performance on certain day to be at proper time and place.
  50. Section 49Place for performance of promise, where no application to be made and no place fixed for performance.
  51. Section 50Performance in manner or at time prescribed or sanctioned by promise.
  52. Section 51Promisor not bound to perform, unless reciprocal promisee ready and willing to perform.
  53. Section 52Order of performance of reciprocal promises.
  54. Section 53Liability of party preventing event on which the contract is to take effect.
  55. Section 54Effect of default as to that promise which should be first performed, in contract consisting of reciprocal promises.
  56. Section 55Effect of failure to perform at fixed time, in contract in which time is essential.
  57. Section 56Agreement to do impossible act.
  58. Section 57Reciprocal promise to do things legal, and also other things illegal.
  59. Section 58Alternative promise, one branch being illegal.
  60. Section 59Application of payment where debt to be discharged is indicated.
  61. Section 60Application of payment where debt to be discharged is not indicated.
  62. Section 61Application of payment where neither party appropriates.
  63. Section 62Effect of novation, rescission, and alteration of contract.
  64. Section 63Promise may dispense with or remit performance of promise.
  65. Section 64Consequences of rescission of voidable contract.
  66. Section 65Obligation of person who has received advantage under void agreement, or contract that becomes void.
  67. Section 66Mode of communicating or revoking rescission of voidable contract.
  68. Section 67Effect of neglect of promisee to afford promisor reasonable facilities for performance.
  69. Section 68Claim for necessaries supplied to person incapable of contracting, or on his account.
  70. Section 69Reimbursement of person paying money due by another, in payment of which he is interested.
  71. Section 70Obligation of person enjoying benefit of non-gratuitous act.
  72. Section 71Responsibility of finder of goods.
  73. Section 72Liability of person to whom money is paid, or thing delivered, by mistake or under coercion.
  74. Section 73Compensation for loss or damage caused by breach of contract.
  75. Section 74Compensation for breach of contract where penalty stipulated for.
  76. Section 75Party rightfully rescinding contract, entitled to compensation.
  77. Section 76Repealed.
  78. Section 77Repealed.
  79. Section 78Repealed.
  80. Section 79Repealed.
  81. Section 80Repealed.
  82. Section 81Repealed.
  83. Section 82Repealed.
  84. Section 83Repealed.
  85. Section 84Repealed.
  86. Section 85Repealed.
  87. Section 86Repealed.
  88. Section 87Repealed.
  89. Section 88Repealed.
  90. Section 89Repealed.
  91. Section 90Repealed.
  92. Section 91Repealed.
  93. Section 92Repealed.
  94. Section 93Repealed.
  95. Section 94Repealed.
  96. Section 95Repealed.
  97. Section 96Repealed.
  98. Section 97Repealed.
  99. Section 98Repealed.
  100. Section 99Repealed.
  101. Section 100Repealed.
  102. Section 101Repealed.
  103. Section 102Repealed.
  104. Section 103Repealed.
  105. Section 104Repealed.
  106. Section 105Repealed.
  107. Section 106Repealed.
  108. Section 107Repealed.
  109. Section 108Repealed.
  110. Section 109Repealed.
  111. Section 110Repealed.
  112. Section 111Repealed.
  113. Section 112Repealed.
  114. Section 113Repealed.
  115. Section 114Repealed.
  116. Section 115Repealed.
  117. Section 116Repealed.
  118. Section 117Repealed.
  119. Section 118Repealed.
  120. Section 119Repealed.
  121. Section 120Repealed.
  122. Section 121Repealed.
  123. Section 122Repealed.
  124. Section 123Repealed.
  125. Section 124"Contract of indemnity" defined
  126. Section 125Rights of indemnity-holder when sued.
  127. Section 126"Contract of guarantee", "surety", "principal debtor" and "creditor".
  128. Section 127Consideration for guarantee.
  129. Section 128Surety's liability.
  130. Section 129"Continuing guarantee".
  131. Section 130Revocation of continuing guarantee.
  132. Section 131Revocation of continuing guarantee by surety's death.
  133. Section 132Liability of two persons, primarily liable, not affected by arrangement between them that one shall be surety on others default.
  134. Section 133Discharge of surety by variance in terms of contract.
  135. Section 134Discharge of surety by release or discharge of principal debtor.
  136. Section 135Discharge of surety when creditor compounds with, gives time to, or agrees not to sue, principal debtor.
  137. Section 136Surety not discharged when agreement made with third person to give time to principal debtor.
  138. Section 137Creditor's forbearance to sue does not discharge surety.
  139. Section 138Release of one co-surety does not discharge others.
  140. Section 139Discharge of surety of creditor's act or omission impairing surety's eventual remedy.
  141. Section 140Rights of surety on payment or performance.
  142. Section 141Surety's right to benefit of creditor's securities.
  143. Section 142Guarantee obtained by misrepresentation invalid.
  144. Section 143Guarantee obtained by concealment invalid.
  145. Section 144Guarantee on contract that creditor shall not act on it until co-surety joins.
  146. Section 145Implied promise to indemnify surety.
  147. Section 146Co-sureties liable to contribute equally.
  148. Section 147Liability of co-sureties bound in different sums.
  149. Section 148"Bailment", "bailor" and "bailee" defined.
  150. Section 149Delivery to bailee how made.
  151. Section 150Bailor's duty to disclose faults in goods bailed.
  152. Section 151Care to be taken by bailee.
  153. Section 152Bailee when not liable for loss, etc., of thing bailed.
  154. Section 153Termination of bailment by bailee's act inconsistent with conditions.
  155. Section 154Liability of bailee making unauthorized use of goods bailed.
  156. Section 155Effect of mixture, with bailor's consent, of his goods with bailee's.
  157. Section 156Effect of mixture, without bailor's consent, when the good can be separated.
  158. Section 157Effect of mixture, without bailor's consent, when the goods cannot be separated.
  159. Section 158Repayment, by bailor, of necessary expenses.
  160. Section 159Restoration of goods lent gratuitously.
  161. Section 160Return of goods bailed, on expiration of time or accomplishment of purpose.
  162. Section 161Bailee's responsibility when goods are not duly returned.
  163. Section 162Termination of gratuitous bailment by death.
  164. Section 163Bailor entitled to increase or profit from goods bailed.
  165. Section 164Bailor's responsibility to bailee.
  166. Section 165Bailment by several joint owners.
  167. Section 166Bailee not responsible on re-delivery to bailor without title.
  168. Section 167Right of third person claiming goods bailed.
  169. Section 168Right of finder of goods.
  170. Section 169When finder of thing commonly on sale may sell it.
  171. Section 170Bailee's particular lien.
  172. Section 171General lien of bankers, factors, wharfingers, attorneys and policy-brokers.
  173. Section 172"Pledge", "Pawnor" and "Pawnee" defined.
  174. Section 173Pawnee's right of retainer.
  175. Section 174Pawnee not to retain for debt or promise other than that for which goods pledged.
  176. Section 175Pawnee's right as to extraordinary expenses incurred.
  177. Section 176Pawnee's right where pawnor makes default.
  178. Section 177Defaulting pawnor's right to redeem.
  179. Section 178Pledge by mercantile agent.
  180. Section 178APledge by person in possession under voidable contract.
  181. Section 179Pledge where pawnor has only a limited interest.
  182. Section 180Suit by bailor or bailee against wrong-doer.
  183. Section 181Apportionment of relief or compensation obtained by such suits.
  184. Section 182"Agent" and "principal" defined.
  185. Section 183Who may employ agent.
  186. Section 184Who may be an agent.
  187. Section 185Consideration not necessary.
  188. Section 186Agent's authority may be expressed or implied.
  189. Section 187Definitions of express and implied authority.
  190. Section 188Extent of agent's authority.
  191. Section 189Agent's authority in an emergency.
  192. Section 190When agent cannot delegate.
  193. Section 191"Sub-agent" defined.
  194. Section 192Representation of principal by sub-agent properly appointed.
  195. Section 193Agent's responsibility for sub-agent appointed without authority.
  196. Section 194Relation between principal and person duly appointed by agent to act in business of agency.
  197. Section 195Agent's duty in naming such person.
  198. Section 196Right of person as to acts done for him without his authority.
  199. Section 197Ratification may be expressed or implied.
  200. Section 198Knowledge requisite for valid ratification.
  201. Section 199Effect of ratifying unauthorized act forming part of a transaction.
  202. Section 200Ratification of unauthorized act cannot injure third person.
  203. Section 201Termination of agency.
  204. Section 202Termination of agency, where agent has an interest in subject-matter.
  205. Section 203When principal may revoke agent's authority.
  206. Section 204Revocation where authority has been partly exercised.
  207. Section 205Compensation for revocation by principal, or renunciation by agent.
  208. Section 206Notice of revocation or renunciation.
  209. Section 207Revocation and renunciation may be expressed or implied.
  210. Section 208When termination of agent's authority takes effect as to agent, and as to third persons.
  211. Section 209Agent's duty on termination of agency by principal's death or insanity.
  212. Section 210Termination of sub-agent's authority.
  213. Section 211Agent's duty in conducting principal's business.
  214. Section 212Skill and diligence required from agent.
  215. Section 213Agent's accounts.
  216. Section 214Agent's duty to communicate with principal.
  217. Section 215Right of principal when agent deals, on his own account, in business of agency without principals consent.
  218. Section 216Principal's right to benefit gained by agent dealing on his own account in business of agency.
  219. Section 217Agent's right of retainer out of sums received on principal's account.
  220. Section 218Agent's duty to pay sums received for principal.
  221. Section 219When agent's remuneration becomes due.
  222. Section 220Agent not entitled to remuneration for business misconducted.
  223. Section 221Agent's lien on principal's property.
  224. Section 222Agent to be indemnified against consequences of lawful acts.
  225. Section 223Agent to be indemnified against consequences of acts done in good faith.
  226. Section 224Non-liability of employer of agent to do a criminal act.
  227. Section 225Compensation to agent for injury caused by principal's neglect.
  228. Section 226Enforcement and consequences of agent's contracts.
  229. Section 227Principal how far bound, when agent exceeds authority.
  230. Section 228Principal not bound when excess of agent's authority is not separable.
  231. Section 229Consequences of notice given to agent.
  232. Section 230Agent cannot personally enforce, nor be bound by, contracts on behalf of principal.
  233. Section 231Rights of parties to a contract made by agent not disclosed.
  234. Section 232Performance of contract with agent supposed to be principal.
  235. Section 233Right of person dealing with agent personally liable.
  236. Section 234Consequence of inducing agent or principal to act on belief that principal or agent will be held exclusively liable.
  237. Section 235Liability of pretended agent.
  238. Section 236Person falsely contracting as agent, not entitled to performance.
  239. Section 237Liability of principal inducing belief that agent's unauthorized acts were authorized.
  240. Section 238Effect, on agreement, of misrepresentation or fraud by agent.
  241. Section 239Repealed..
  242. Section 240Repealed..
  243. Section 241Repealed..
  244. Section 242Repealed..
  245. Section 243Repealed..
  246. Section 244Repealed..
  247. Section 245Repealed..
  248. Section 246Repealed..
  249. Section 247Repealed..
  250. Section 248Repealed..
  251. Section 249Repealed..
  252. Section 250Repealed..
  253. Section 251Repealed..
  254. Section 252Repealed..
  255. Section 253Repealed..
  256. Section 254Repealed..
  257. Section 255Repealed..
  258. Section 256Repealed..
  259. Section 257Repealed..
  260. Section 258Repealed..
  261. Section 259Repealed..
  262. Section 260Repealed..
  263. Section 261Repealed..
  264. Section 262Repealed..
  265. Section 263Repealed..
  266. Section 264Repealed..
  267. Section 265Repealed..
  268. Section 266Repealed..