A contracts to sell 100 bales of cotton to B. A later learns that B contracted as agent for the…
Section 233 applies where the agent is personally liable. The person who dealt with the agent may hold the agent, the principal, or both liable. The illustration gives the…
Choose your answer
A contracts to sell 100 bales of cotton to B. A later learns that B contracted as agent for the undisclosed principal C. B is personally liable under the contract. Under section 233 of the Indian Contract Act, 1872, whom may A sue for the price?
Answer and explanation
Correct answer C
Section 233 applies where the agent is personally liable. The person who dealt with the agent may hold the agent, the principal, or both liable.
The illustration gives the same remedy in the sale of 100 bales of cotton.
Option feedback
Option A
Section 233 permits recourse against the personally liable agent too.
Option B
Section 233 permits recourse against the principal too.
Option C
Where the agent is personally liable, section 233 permits holding the agent, the principal, or both liable.
Option D
The statutory illustration permits recourse against either or both.
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