Act Number: 9

Act Name: The Indian Contract Act, 1872

Year: 1872

Enactment Date: 1872-04-25

Long Title:

Ministry: Ministry of Law and Justice

Department: Legislative Department

Section 27: Agreement in restraint of trade, void.
    Every agreement by which any one is restrained from exercising a lawful profession, trade or business of any kind, is to that extent void.
    Exception 1.Saving of agreement not to carry on business of which good-will is sold.One who sells the good-will of a business may agree with the buyer to refrain from carrying on a similar business, within specified local limits, so long as the buyer, or any person deriving title to the good-will from him, carries on a like business therein, provided that such limits appear to the Court reasonable, regard being had to the nature of the business.
    1 * * * * *.
Notes:
1. Exceptions 2 and 3 rep. by Act 9 of 1932, s. 73 and the Second Schedule.
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