Section 100 The Indian Contract Act, 1872
Section 100 – The Indian Contract Act, 1872
📜 Title: "Saving of negotiable instruments"
Text of Section 100:
"Nothing herein contained shall affect the Indian Paper Currency Act, 1871 (3 of 1871), section 21, or affect any local usage relating to any instrument in an oriental language."
🔍 Explanation:
Section 100 of the Indian Contract Act, 1872 is a saving clause, which means it preserves the validity of certain laws and customs even though the Contract Act may otherwise apply.
⚖️ Key Points:
Indian Paper Currency Act, 1871:
Section 21 of this Act dealt with promissory notes issued by the Government.
Section 100 clarifies that nothing in the Contract Act will override or interfere with those provisions.
Local Usages:
Any traditional or customary practices related to negotiable instruments written in oriental languages (e.g., Urdu, Persian, Sanskrit, etc.) are not affected by the Indian Contract Act.
These may include community-specific or region-specific commercial practices.
🧠 Purpose:
To avoid legal conflict, Section 100 ensures that:
Central laws like the Indian Paper Currency Act continue to operate alongside the Contract Act.
Cultural and customary business practices relating to traditional instruments remain valid.
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