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Which pair consists of two events that section 201 of the Indian Contract Act, 1872 expressly lists as…

Section 201 lists revocation by the principal, renunciation by the agent, and death or unsoundness of mind of either party among the grounds of termination. Sections 202 and…

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Which pair consists of two events that section 201 of the Indian Contract Act, 1872 expressly lists as grounds for termination of agency?

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Answer and explanation

Correct answer D

Section 201 lists revocation by the principal, renunciation by the agent, and death or unsoundness of mind of either party among the grounds of termination.

Sections 202 and 204 qualify termination where the agent has an interest in the subject matter or authority has already been exercised in part.

Option feedback

Option A

Revocation is listed, but appointment of a sub-agent is not a statutory termination event.

Option B

Renunciation is listed. A temporary illness alone is not a listed event.

Option C

Completion is listed. A transfer of the agent’s office is not.

Option D

Renunciation and death of the principal are both expressly listed.

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