Section 65 Contract Act Explained: Obligation of person who has received advantage under void agreement, or contract that becomes void | Nyaya

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What does Section 65 of Contract Act say?

Section 65 of the Indian Contract Act, 1872, states that when an agreement is discovered to be void, or when a contract becomes void, any person who has received any advantage under such agreement or contract is bound to restore it, or to make compensation for it to the person from whom he has received it. The section further provides that this provision shall not affect the rights of any third person. The Supreme Court of India has held that the obligation to restore the advantage received under a void agreement or contract is based on the principle of unjust enrichment. (Chuharmal v. Jagsar, AIR 1965 SC 1362).

Indian StandardSection 65, Indian Contract Act, 1872

Bluebook (21st ed.)Indian Contract Act, 1872, § 65 (India)

Court Pleading StandardSection 65 of the Indian Contract Act, 1872

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Source: Gazette of India (Official Publication)Verify egazette.gov.in ↗

Common Questions about Section 65 Contract Act

What is Section 65 of Contract Act?

Section 65 of the Indian Contract Act, 1872 (Contract Act) defines and regulates "Obligation of person who has received advantage under void agreement, or contract that becomes void". The section states: Section 65 of the Indian Contract Act, 1872, states that when an agreement is discovered to be void, or when a contract becomes void, any person who has received any advantage unde...

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