Contract of indemnity (Defined)

 

Contract of indemnity (Defined)

Section 124, under Chapter VIII of the Indian Contract Act, 1872,  the contract of indemnity, is defined and explained.

It is a Contract through which, one party promises to save the other party from loss caused to him by the conduct of the promissor himself, or by the conduct of any other person, is called as a “contract of indemnity”.

 

Illustration-

T contracts to indemnify C against the consequences of any proceedings which D may take against C in context of a particular sum of rupees 300. This is a contract of indemnity.

 

 

 

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