Agent not entitled to remuneration for business mis conducted? What is Agent's lien on principal's property? Section 220 and 221 of Indian Contract Act 1872
220. An agent who is guilty of misconduct in the business of the agency is not entitled to any remuneration in respect of that part of the business which he has mis conducted.
Illustrations
(a) A employs B to recover 1,00,000 rupees from C, and to lay it
out on good security. B recovers the 1,00,000 rupees and lays
out 90,000 rupees on good security, but lays out 10,000 rupees
on security which he ought to have known to be bad, whereby A
loses 2,000 rupees. B is entitled to remuneration for recovering
the 1,00,000 rupees and for investing the 90,000 rupees. He is
not entitled to any remuneration for investing the 10,000
rupees, and he must make good the 2,000 rupees to B.
(b) A employs B to recover 1,000 rupees from C. Through B's
misconduct the money is not recovered. B is entitled to no
remuneration for his services, and must make good the loss.
221. In the absence of any contract to the contrary, an agent is entitled to retain goods, papers and other property, whether movable or immovable, of the principal received by him, until the amount due to himself for commission, disbursements and services in respect of the same has been paid or accounted for to him.
Section 206 - Notice of revocation or renunciation
Section 207 - Revocation and renunciation may be expressed or implied
Section 209 - Agent's duty on termination of agency by principal's death or insanity
Section 210 - Termination of sub-agent's authority
Agent's duty to Principal
Section 211 - Agent's duty in conducting principal's business
Section 212 - Skill and diligence required from agent
Section 213 - Agent's accounts
Section 214 - Agent's duty to communicate with principal
Section 217 - Agent's right of retainer out of sums received on principal's account
Section 218 - Agent's duty to pay sums received for principal
Section 219 - When agent's remuneration becomes due
Section 220 - Agent not entitled to remuneration for business misconducted
Section 221 - Agent's lien on principal's property
Principal's duty to agent
Section 222 - Agent to be indemnified against consequences of lawful acts
Section 223 - Agent to be indemnified against consequences of acts done in good faith
Section 224 - Non-liability of employer of agent to do a criminal act
Section 225 - Compensation to agent for injury caused by principal's neglect