Wednesday, 22, Apr, 2026
 
 
 
Expand O P Jindal Global University
BARE ACTS

Category SideBar

Section 227. Principal how far bound, when agent exceeds authority


Category of Bare Act Name of the Act Year of Promulgation
Civil Laws Indian Contract Act, 1872 1872
Act Number Enactment Date Chapter Number
9 1872-04-25 10
Chapter Title Ministry Department
Agency, Appointment and Authority of Agents Ministry of Law and Justice, Legislative Department Department of Law and Legislative Affairs

When an agent does more than he is authorised to do, and when the part of what he does, which is within his authority, can be separated from the part which is beyond his authority, so much only of what he does as is within his authority is binding as between him and his principal.

Illustration

A, being owner of a ship and cargo, authorizes B to procure an insurance for 4,000 rupees on the ship. B procures a policy for 4,000 rupees on the ship, and another for the like sum on the cargo. A is bound to pay the premium for the policy on the ship, but not the premium for the policy on the cargo.

Help us improve! Please suggest corrections.
 

Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 
 

Related judgement on Section 227. Principal how far bound, when agent exceeds authority