Page 28 - 01. Indian Contract Act, 1872

Performance of Contracts (Sec. 37)

It is one of the modes of discharging the contract. It is the completion or fulfillment of
obligations by the respective parties to a contract.

As per Sec. 37 of the Indian Contract Act, the parties to the contract must either-
(1) Perform their respective promises, or

(2) Offer to perform the same unless such performance is dispensed with or excused
under the provision of any other law.

Contracts to be performed by whom?

1. Promisor himself - Sec. 40 Contracts involving the exercise of personal skill or
diligence need to be performed by promisor himself.

2. Agent.

3. Representatives: Contract involving the use of personal skill or founded on

personal consideration comes to an end on the promisor's death.

In other cases, the legal representatives of the deceased partner are bound to

perform it, but their liability is limited to the value of the property they inherit from
the deceased.

4. Third persons: As per Sec. 41, "if the promisee accepts the performance
of the premise by a third person , he cannot afterwards enforce if against the
promisor."
5. Joint promisors

 Who Can Demand Performance?

1. Promisee: . Only promisee can demand the performance of the promise
irrespective of the fact that it is for the benefit the promisee or any other
person.

2. Third party: In some cases, like trust, marriage settlements etc. third
party can enforce the promise against the promisor even though he is
not a party to the contract.

3. Representatives: In case of death of the promisee his representative
may ask for the performance of the promise under a contract.

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