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Under the Indian Contract Act, 1872, which of the following statements is incorrect?

Under Section 185 of the Indian Contract Act, 1872, no consideration is necessary to create an agency, making the statement that consideration is necessary incorrect. Under…

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Under the Indian Contract Act, 1872, which of the following statements is incorrect?

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Correct answer B

Under Section 185 of the Indian Contract Act, 1872, no consideration is necessary to create an agency, making the statement that consideration is necessary incorrect. Under Section 186, the authority of an agent may be expressed or implied. Under Section 184, while any person may become an agent as between the principal and third persons, only a person who is of the age of majority and of sound mind can become an agent so as to be responsible to the principal. Further, Section 189 empowers an agent in an emergency to do all such acts for the purpose of protecting his principal from loss as would be done by a person of ordinary prudence in his own case under similar circumstances.

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