Section 192 The Indian Contract Act, 1872
Section 192 – Indian Contract Act, 1872
Title: Representation of principal by sub-agent properly appointed
Bare Act Language:
Section 192.
Where a sub-agent is properly appointed, the principal is, so far as regards third persons, represented by the sub-agent, and is bound by and responsible for his acts, as if he were an agent originally appointed by the principal.
🔍 Explanation:
This section deals with the legal effect of appointing a sub-agent properly (i.e., according to the rules laid down in Section 190).
When a lawfully appointed sub-agent acts within his authority, the principal is bound by those acts.
In relation to third parties, it is as if the sub-agent is the principal’s agent directly.
However, the agent remains responsible to the principal for the sub-agent’s conduct.
✅ Key Conditions:
The sub-agent must be properly appointed.
The sub-agent’s acts must be within the scope of their authority.
The principal will be bound towards third parties, but not necessarily towards the sub-agent.
🧑⚖️ Example:
A appoints B as his agent to sell goods. B, with A’s authority, appoints C as a sub-agent to handle sales.
➡️ If C sells goods to D, the sale is binding on A, just as if A had appointed C himself.
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