Contract Act, Section 42: Devolution of Joint Liabilities
Section 42 of the Indian Contract Act, 1872 governs the devolution of liabilities arising from joint promises and ensures that contractual obligations continue despite the death of joint promisors.
The section provides that liability passes to surviving promisors and legal representatives of deceased promisors, preserving continuity of performance and protecting the rights of the promisee.
1. Purpose of Section 42
The primary objective of Section 42 is to regulate the continuation of contractual liability where two or more persons have jointly undertaken the same obligation.
The provision ensures that death of joint promisors does not discharge the contract, as liability continues through surviving promisors and legal representatives.
2. Meaning of a Joint Promise
A joint promise arises when two or more persons collectively undertake a common contractual obligation in favour of another person.
In such cases, the promisors jointly assume responsibility for performing the contractual promise, unless the contract provides otherwise.
3. Joint Liability During the Lifetime of the Promisors
The first part of Section 42 provides that all joint promisors are required to fulfil the contractual promise during their joint lives.
Each promisor remains jointly responsible for performing the obligation until it is properly discharged, and the promisee may demand performance according to the contract.
4. Effect of the Death of a Joint Promisor
Section 42 provides that the death of one joint promisor before performance does not discharge or terminate the contractual obligation.
Instead, the legal representative of the deceased promisor becomes jointly liable with the surviving promisor or promisors, ensuring continuity of the obligation.
5. Liability of the Legal Representative
The legal representative of a deceased joint promisor does not become solely responsible for the contractual obligation but shares liability with the surviving promisor or promisors.
The contractual responsibility continues in the same manner as before the death, subject to the legal limitations applicable to the inherited estate.
6. Liability After the Death of the Last Survivor
Section 42 deals with the situation where all joint promisors have died, making the legal representatives of the deceased promisors responsible for the contractual obligation.
After the death of the last surviving promisor, the representatives become jointly liable to fulfil the promise, ensuring continuity of contractual liability.
7. Continuity of Contractual Obligations
A significant feature of Section 42 is that contractual obligations continue despite changes in the persons liable to perform them, as the death of a joint promisor does not deprive the promisee of the contractual benefit and liability passes according to succession rules.
8. Contrary Intention in the Contract
Section 42 applies unless a contrary intention appears from the contract, allowing parties to agree on different arrangements regarding the effect of a promisor's death or the performance of contractual obligations.
9. Importance of Joint Liability
Joint liability under Section 42 provides greater security to the promisee by ensuring that a joint contractual obligation remains enforceable even after the death of one promisor, thereby strengthening confidence in multi-party contracts.
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