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Section 48: Application for performance on certain day to be at proper time and place

Indian Contract Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1872
Section 47 All 266 Sections of Indian Contract Act Section 49

Legal Commentary & Landmark Judgments: Section 48

Section 48 of the Indian Contract Act, 1872 governs contracts where a promise is to be performed on a certain day upon application by the promisee, imposing a statutory duty on the promisee to apply for performance at a proper place and within the usual hours of business as a condition precedent to promisor default.

  • Promisee's Affirmative Duty to Apply: Where performance is stipulated to occur on a certain day upon demand, the promisor is under no obligation to perform until the promisee actively makes an application.
  • Proper Place for Application: The application for performance must be made at the promisor's designated place of business or the venue contemplated by the commercial contract.
  • Application within Usual Business Hours: The promisee's demand must be communicated during regular commercial business hours; a demand made outside business hours is legally ineffective to put the promisor in breach.
Key Landmark Precedents:
  • Ganesh Das-Ishar Das v. Ram Nath AIR 1928 Lah 20: Held that where the contract required delivery on a specific date upon the buyer's demand, the buyer could not claim damages for non-delivery without proving that he applied for delivery at the seller's shop during business hours.
  • Ramanathan Chetty v. Yagappa Chetty (1916) 33 IC 996: The Court ruled that under Section 48, the promisee's application is an essential condition precedent, and in the absence of such demand, the promisor cannot be held guilty of default or delay.
Courtroom Practice & Strategic Litigation Guidance:

When defending a manufacturer or distributor against liquidated damages or delayed delivery claims under supply contracts requiring buyer release orders, plead Section 48. Establish that the buyer failed to issue timely delivery calls or shipping instructions at the proper place during business hours, absolving your client of any default.

Section 47 All 266 Sections of Indian Contract Act Section 49