LawgistThe Indian Contract Act
216Principal's right to benefit gained by agent dealing on his own account in business of agency
If an agent, without the knowledge of his principal, deals in the business of the agency on his own account instead of on account of his principal, the principal is entitled to claim from the agent any benefit which may have resulted to him from the transaction.
Illustration
A directs B, his agent, to buy a certain house for him. B tells A it cannot be bought, and buys the house for himself. A may, on discovering that B has bought the house, compel him to sell it to A at the price he gave for it.
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Agent's duty to principal
- 211 Agent's duty in conducting principal's business
- 212 Skill and diligence required from agent
- 213 Agent's accounts
- 214 Agent's duty to communicate with principal
- 215 Right of principal when agent deals, on his own account, in business of agency without principals consent
- 216 Principal's right to benefit gained by agent dealing on his own account in business of agency
- 217 Agent's right of retainer out of sums received on principal's account
- 218 Agent's duty to pay sums received for principal
- 219 When agent's remuneration becomes due
- 220 Agent not entitled to remuneration for business misconducted
- 221 Agent's lien on principal's property
