Section 197 The Indian Contract Act, 1872
Section 197 of the Indian Contract Act, 1872 deals with the ratification of acts done without authority.
🔹 Section 197 – Ratification may be express or implied
"Ratification may be expressed or may be implied in the conduct of the person on whose behalf the acts are done."
🔍 Explanation:
If someone (an agent or any person) does an act on behalf of another person without authority, the person on whose behalf the act was done can later approve or ratify it.
Such ratification can be:
Express: Clearly stated through words or writing.
Implied: Inferred from the conduct or actions of the person (such as accepting the benefits of the unauthorized act).
📌 Example:
A, without authority, buys goods on behalf of B.
Later, B sells those goods and keeps the money.
B’s act of selling and keeping the profits implies that he ratified A's unauthorized purchase.
✅ Key Point:
Ratification validates the act as if it was originally authorized — but only if the person ratifying had full knowledge of all material facts.
RELATED Blog
0 comments