Question

B, the proprietor of a newspaper, publishes at A’s request, a libel upon C in the paper, and A agrees to indemnify B against the consequences of the publication, and all costs and damages of any action in respect thereof. B is sued by C and has to pay damages, and also incurs expenses. Decide in the light of the Section 224 of the Indian Contract Act, 1872.

B, the proprietor of a newspaper, publishes at A’s request, a libel upon C in the paper, and A agrees to indemnify B against the consequences of the publication, and all costs and damages of any action in respect thereof. B is sued by C and has to pay damages, and also incurs expenses. Decide in the light of the Section 224 of the Indian Contract Act, 1872.

.

Option A: A is not liable to B upon indemnity
Option B: A is liable to B upon indemnity
Option C: A is not liable to C upon indemnity
Option D: None of these

Correct Answer

Option: a

Explanation

The above question is based on Illustration (b) to Section 224 of the Indian Contract Act, 1872 which provides for Non liability of employer of agent to do a criminal act. It states that-Where one person employs another to do an act which is criminal, the employer is not liable to the agent, either upon an express or an implied promise, to indemnify him against the consequences of that Act’ The above question is based on Illustration (b) to Section 224. Illustration (b) to Section 224 is as under: – Illustration (b): B, the proprietor of a newspaper, publishes, at A’s request, a libel upon C in the paper, and A agrees to indemnify B against the consequences of the publication, and all costs and damages of any action in respect thereof. B is sued by C and has to pay damages, and also incurs expenses. A is not liable to B upon the indemnity. 1. See Section 24 of the Indian Contract Act, 1872.

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