Section 64

Section 64 of the Indian Contract Act, 1872, provides that when a person, at whose option a contract is voidable, has received any benefit under such contract, he must restore, or offer to restore, such benefit to the person from whom, or on whose account, he has received it, so that the latter may be placed in the position in which he would have been if the contract had not been made. The section further provides that this provision shall not affect the rights of any third person. The Madras High Court has held that the benefit received under a voidable contract must be restored or offered to be restored before seeking to avoid the contract. (Ramaswami v. Rangaswami, AIR 1961 Mad 241).