Chapter X - Agency
Section 193
Section 193: Unauthorised sub-agent appointments
An unauthorised sub-agent appointment places responsibility on the appointing agent rather than automatically binding the principal.
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This article is for general information. Refer to the Indian Contract Act, 1872 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
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.
Rule and business relevance
The appointing agent stands toward the appointee as principal and is responsible for the appointee’s acts to both the original principal and third persons. The original principal is not represented by or responsible for those acts under this rule.
Limits and related provisions
First establish that appointment lacked authority. Do not apply this provision to a properly appointed sub-agent or overlook a separately established legal basis for responsibility.
Hypothetical business example
Hypothetical example: A representative delegates personally entrusted work without authority. The appointing representative cannot simply attribute the assistant’s conduct to the original principal.
Practical decision flow
Establish the limits on appointment authority.
Identify the unauthorised appointee’s acts.
Assess responsibility through the relationships stated in the section.
Check the applicable legal framework
This guide explains the central provision. Applicable State amendments, the agreement, transaction date and other governing laws can affect its application. Check the current legal framework before relying on it for a commercial decision.
Practical checklist
Do
- Establish the limits on appointment authority.
- Identify the unauthorised appointee’s acts.
- Assess responsibility through the relationships stated in the section.
Avoid
- First establish that appointment lacked authority. Do not apply this provision to a properly appointed sub-agent or overlook a separately established legal basis for responsibility.
Glossary
- Unauthorised appointment
- Appointment of a sub-agent without authority to do so.
- Appointing agent
- The original agent who assumes the stated responsibility.
Frequently asked questions
Does the original principal automatically become bound?
Not under the rule stated for this unauthorised appointment.
Who is responsible for the appointee’s acts?
The appointing agent, toward the principal and third persons as stated.
Is proper appointment treated differently?
Yes. Section 192 addresses that position.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026