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The Indian Contract Act, 1872: page 44

The Indian Contract Act, 1872, India Code delivered snapshot 85a7a066098255c9, physical page 44. Unreviewed extraction.

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                                                         Illustrations
      (a) A is employed by B, residing in London, to recover at Bombay a debt due to B. A may adopt any legal process necessary
for the purpose of recovering the debt, and may give a valid discharge for the same.
    (b) A constitutes B his agent to carry on his business of a ship-builder. B may purchase timber and other materials, and hire
workmen, for the purpose of carrying on the business.

    189.Agent’s authority in an emergency.—An agent has authority, 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.
                                                         Illustrations
    (a) An agent for sale may have goods repaired if it be necessary.
     (b) A consigns provisions to B at Calcutta, with directions to send them immediately to C, at Cuttack. B may sell the
provisions at Calcutta, if they will not bear the journey to Cuttack without spoiling.

                                                         Sub-Agents
    190. When agent cannot delegate.—An agent cannot lawfully employ another to perform acts
which he has expressly or impliedly undertaken to perform personally, unless by the ordinary custom of
                                                                                   e
trade a sub-agent may, or, from the nature of the agency, a sub-agent must, be employed.
                                                                            od
    191. “Sub-agent” defined.—A “sub-agent” is a person employed by, and acting under the control of,
the original agent in the business of the agency.
                                                                        aC
    192. Representation of principal by sub-agent properly appointed.—Where a sub-agent is
                                                               di
properly appointed, the principal is, so far as regards third persons, represented by the sub-agent, and is
bound by and responsible for his acts, as if he were an agent originally appointed by the principal.
                                                          In
    Agent’s responsibility for sub-agent.—The agent is responsible to the principal for the acts of the
sub-agent.
    Sub-agent’s responsibility.—The sub-agent is responsible for his acts to the agent, but not tothe
principal, except in cases of fraud or wilful wrong.
    193. Agent’s responsibility for sub-agent appointed without authority.—Where an agent, without
having authority to do so, has appointed a person to act as a sub-agent, the agent stands towards such
person in the relation of a principal to an agent, and is responsible for his acts both to the principal and to
third persons; the principal is not represented, by or responsible for the acts of the person so employed,
nor is that person responsible to the principal.
    194.Relation between principal and person duly appointed by agent to act in business of
agency.—Where an agent, holding an express or implied authority to name another person to act for the
principal in the business of the agency, has named another person accordingly, such person is not a
sub-agent, but an agent of the principal for such part of the business of the agency as is entrusted to him.
                                                         Illustrations
     (a)A directs B, his solicitor, to sell his estate by auction, and to employ an auctioneer for the purpose. B names C, an
auctioneer, to conduct the sale. C is not a sub-agent, but is A’s agent for the conduct of the sale.
     (b)A authorizes B, a merchant in Calcutta, to recover the moneys due to A from C & Co. B instructs D, a solicitor, to take
legal proceedings against C & Co. for the recovery of the money. D is not a sub-agent, but is solicitor for A.

    195. Agent’s duty in naming such person.—In selecting such agent for his principal, an agent is
bound to exercise the same amount of discretion as a man of ordinary prudence would exercise in his own
case; and, if he does this, he is not responsible to the principal for the acts or negligence of the agent so
selected.


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