Law · Indian Contract Act

While a pledge by a non-owner is generally invalid, Section 178 of the Indian Contract Act, 1872 makes a pledge valid if made by a:

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Banker
2Mercantile agent✓
3Auctioneer
4Factor

Correct answer

Mercantile agent

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While a pledge by a non-owner is generally invalid, Section 178 of the Indian Contract Act, 1872 makes a pledge valid if made by a:

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While a pledge by a non-owner is generally invalid, Section 178 of the Indian Contract Act, 1872 makes a pledge valid if made by a:

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