Indian Contract Act, 1872
Indian Contract Act, 1872
IV · Section 53

Liability of party preventing event on which the contract is to take effect.

Synced on 13 Aug 2026Text as per India Code

When a contract

contains reciprocal promises, and one party to the contract prevents the other from performing his

promise, the contract becomes voidable at the option of the party so prevented; and he is entitled to

compensation from the other party for any loss which he may sustain in consequence of the non-

performance of the contract.

Illustration

A and B contract that B shall execute certain work for A for a thousand rupees. B is ready and willing to execute the work

accordingly, but A prevents him from doing so. The contract is voidable at the option of B; and, if he elects to rescind it, he is

entitled to recover from A compensation for any loss which he has incurred by its non-performance.

Judgments on Section 53