Chapter X - Agency
Section 214
Section 214: Communication in difficulties
When difficulties arise, an agent must use all reasonable diligence to communicate with the principal and seek instructions.
On this page
Need advice on Section 214?
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
It is the duty of an agent, in cases of difficulty, to use all reasonable diligence in communicating with his principal, and in seeking to obtain his instructions.
Rule and business relevance
The duty is to make diligent efforts in the difficult situation, preserving the principal’s ability to direct the business.
Limits and related provisions
Do not treat this as either a duty to do nothing indefinitely or unlimited authority to ignore instructions. Emergency authority may require separate consideration under section 189.
Hypothetical business example
Hypothetical example: A shipment encounters an unexpected obstacle. The agent promptly tries available communication channels and records attempts to obtain instructions.
Practical decision flow
Identify the difficulty and decision required.
Use reasonable communication efforts to reach the principal.
Record instructions or assess any genuine emergency authority.
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
- Identify the difficulty and decision required.
- Use reasonable communication efforts to reach the principal.
- Record instructions or assess any genuine emergency authority.
Avoid
- Do not treat this as either a duty to do nothing indefinitely or unlimited authority to ignore instructions. Emergency authority may require separate consideration under section 189.
Glossary
- Difficulty
- A situation in the agency business requiring communication and instructions.
- Communication diligence
- Reasonable efforts to contact and obtain guidance from the principal.
Frequently asked questions
Is one token contact attempt always sufficient?
The standard is all reasonable diligence in the circumstances.
Must instructions be sought?
Yes. The section expressly includes seeking instructions.
What if urgent protective action is necessary?
Consider section 189 alongside this communication duty.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026