Indian Contract Act, 1872
Indian Contract Act, 1872
X · Section 187

Definitions of express and implied authority.

Synced on 13 Aug 2026Text as per India Code

An authority is said to be express when it is

given by words spoken or written. An authority is said to be implied when it is to be inferred from the

circumstances of the case; and things spoken or written, or the ordinary course of dealing, may be

accounted circumstances of the case.

Illustration

A owns a shop in Serampore, living himself in Calcutta, and visiting the shop occasionally. The shop is managed by B, and

he is in the habit of ordering goods from C in the name of A for the purposes of the shop, and of paying for them out of A’s funds

with A’s knowledge. B has an implied authority from A to order goods from C in the name of A for the purposes of the shop.

Judgments on Section 187