Section 69 The Indian Contract Act, 1872
✅ Section 69 – The Indian Contract Act, 1872
📜 Bare Text of Section 69:
“A person who is interested in the payment of money which another is bound by law to pay, and who therefore pays it, is entitled to be reimbursed by the other.”
🔍 Explanation:
Section 69 deals with reimbursement to a person who pays money on behalf of another, not voluntarily, but due to a legal interest.
⚖️ Key Conditions for Application:
The other person must be bound by law to pay the money.
The person paying must have a legal, not voluntary or moral interest in making the payment.
The payer can then claim reimbursement.
🧠 Example:
A holds land leased by B. B fails to pay the land revenue (which he is legally bound to pay).
A, to protect his own interest in the land (e.g., ownership), pays the dues.
A can recover the amount from B under Section 69.
📌 Important Points:
This section is a part of quasi-contracts (Chapter V of the Act).
The person who makes the payment must not be a stranger to the transaction.
Payment must not be voluntary, but done to protect own legal interest.
🧾 Case Law Example:
Gajanan Moreshwar v. Moreshwar Madan (1942)
– The Bombay High Court held that when a person makes a payment to protect his property or legal interest, he is entitled to reimbursement under Section 69.
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