Understanding the Definition of Agent in the Contract Act

In the context of contract law, specifically under the Indian Contract Act, 1872, an 'Agent' holds a significant position. An agent is a person employed to do any act for another, or to represent another in dealings with third persons. The person for whom such act is done, or who is so represented, is called the 'Principal'. This relationship is fundamental to the concept of agency.

Section 182 of the Contract Act: Defining Agent

The Indian Contract Act, 1872, explicitly defines the term 'Agent' in one of its sections. Let's look at the definition provided in Section 182:

• Section 182: “An 'agent' is a person employed to do any act for another, or to represent another in dealings with third persons. The person for whom such act is done, or who is so represented, is called the 'principal'.”

This definition clearly establishes the two key roles in an agency relationship: the Agent and the Principal. The Agent acts on behalf of the Principal, either by performing acts or representing the Principal in interactions with others (third parties).

Identifying the Correct Section for Agent Definition

Based on the structure and definitions within the Indian Contract Act, 1872, the definition of 'Agent' is provided in Section 182. Reviewing the options:

• Section 182: Contains the definition of 'Agent' and 'Principal'.
• Section 192: Deals with sub-agents.
• Section 152: Relates to the care to be taken by a bailee.
• Section 172: Defines 'pledge', 'pawnor', and 'pawnee'.

Therefore, the section of the Contract Act that defines 'Agent' is Section 182.