Section 197 Indian Contract Act 1872
Section 197 of the Indian Contract Act 1872 is about Ratification may be expressed or implied. It is under “Ratification” of CHAPTER X of the Act. CHAPTER X is titled AGENCY.
Ratification may be expressed or implied
Ratification may be expressed or may be implied in the conduct of the person on whose behalf the acts are done.
(a) A, without authority, buys goods for B. Afterwards B sells them to C on his own account; B’s conduct implies a ratification of the purchase made for him by A.
(b) A, without B’s authority, lends B’s money to C. Afterwards B accepts interest on the money from C. B’s conduct implies a ratification of the loan.
Section 196 Indian Contract Act 1872 (Right of person as to acts done for him without his authority. Effect of ratification.)