Delegation of agents authority (Secs.

191 to 195)
The general rule is that an agent is not entitled to delegate his authority to another person without the consent of his
principal. Delegatus non protest delegare is the maxim which means that a person to whom the authority has been
given cannot delegate that authority to another. Sec. 190 also prohibits delegation of such authority.
Sub- agent:
A sub- agent is a person employed by, and acting under the control of, the original agent in the business of the
agency (sec. 191). This means he is the agent of the original agent. The relation of the sub-agent to the original
agent is, as between themselves, that of the agent and the principal.
Exceptions: sec 190 provides that an agent may appoint a sub-agent and delegate the work to him ifa) there is a custom of trade to that effect, or
b) the nature of work is such that a sub agent is necessary
Example:
a) A banker authorized to let out a house and collect rent may entrust the work to an estate agent [Mahinder
v/s Mohan, A.I.R.(1939)all.188]
b) A banker instructed to make payment to a particular person at a particular place may appoint a banker who
has an office at that place [Summan singh v/s national city bank, A.I.R.(1952) punj.172]
There are some more exceptions recognized by the English law. These exceptions are also recognized in India and
are as follows:
a) Where the principal is aware of the intention of the agent to appoint a sub-agent but does not object to it.
b) Where unforeseen emergencies arise rendering appointment of a sub-agent necessary.
c) Where the act to be done is purely ministerial not involving confidence or the use of discretion.
d) Where the power of the agent to delegate can be inferred from the conduct of both the principal and the
agent.
e) Where the principal permits appointment of a sub-agent.
Relationship between principal and sub-agent. As a general rule, an agent cannot delegate his authority to a subagent. But in certain exceptional cases, he is permitted to do so. In such cases, the delegation of authority to a subagent is proper. In all other cases, the appointment of a sub-agent is improper. The legal relation between the
principal and the sub-agent depends upon the crucial question, as to whether the appointment of the sub-agent is
proper or improper.
1) Where a sub-agent is properly appointed.
(a) The principal is bound by the acts of the sub-agent as if the sub-agent were an agent originally appointed by
the principal (sec 192, para1)
(b) The agent is responsible to the principal for the acts of the sub-agent (sec.192, para2)
Example: A, a carrier, agreed to carry 70 bags of cotton waste from morvi to bhavnagar by a truck. A asked
A1, another carrier to carry the goods. The goods were damaged in transit. Held, A was liable even though it
was proved that A1 was the carrier [jugaldas v/s harilal, A.I.R (1956) guj.88]
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(c) The sub-agent is responsible for his act to the agent, but not to the principal, except in the case of fraud or
willful wrong (sec.192, para 3)
(2) Where a sub-agent is not properly appointed.
Where an agent, without having authority to do so, has appointed a sub-agent, the agent is responsible for the
acts of the sub-agent to the principal and to the third parties. The principal, in such a case, is not represented by
or responsible for the acts of the sub-agent, nor is the sub-agent is responsible to the principal (sec.193).
Co-agent or a substituted agent: [SEC 194- 195]
A co-agent or a substituted is a person who is named by the agent, on an express or implied authority from the
principal, to act for the principal. He is not a sub-agent but an agent of the principal for such part of the business of
the agency as is entrusted to him. He is the agent of the principal, though he is named, at the request of the
principal by the agent (sec.194)
Example:
(a) P directs A, his solicitor, to sell his estate by auction and to employ an auctioneer for the purpose. A name A1,
an auctioneer, to conduct the sale. A1 is not a sub-agent but Ps agent for the conduct of the sale.
(b) A authorizes B, a merchant to recover the moneys due to A from C . B instructs D, a solicitor, to take legal
proceedings against C, for the recovery of the money. D is not a sub- agent, but is solicitor for A.
In selecting a co agent for his principal and agent is bound to exercise the same amount of discretion as a man of
ordinary prudence would exercise in his own case; and if he does this he is not responsible to the principal for the
acts or negligence of the co agent (sec. 195).
Duty not to delegate [S 190]
Delegatus non protest delegare ,is a well known maxim of law of agency the principal chooses a particular
agent because he has trust and confidence in his integrity and competence.
Therefore, ordinarily, the agent cannot further delegate the work which has been delegated to his by principal. But
there are exceptions:
1. Nature of Work : Sometimes the very nature of work mandates it necessary for the agent to appoint a sub
agent.
Eg: an agent appointed to sell an estate may retain the services of an auctioneer
2. Trade Custom: A sub- agent may be appointed and the work delegated to him if there ordinary custom of trade
to that effect.
Eg: Architects generally appoint surveyors. [Moon v Witne Union, (1837) 43 RR 802]
3. Ministerial Action: An agent cannot delegate acts which has expressly or impliedly undertaken to perform
personally,
Eg: Acts requiring personal or professional skill. But the agent may delegate acts which are purely ministerial in
nature, eg, authority to sign.[Mason v Joseph,(1804) 1 SmithKB 406]
4. Principals consent: The principal may expressly allow his agent to appoint a sub-agent. His consent also be
implied from the conduct of the parties.
The principal may also ratify his agents unauthorised delegation.
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