Section 46 of the Indian Contract Act, 1872: Time for Performance Where No Time Is Specified

Section 46 deals with the time for performing a contractual promise where the contract does not require an application or demand by the promisee and does not specify a time for performance. In such a case, the promise must be performed within a reasonable time.

Section 46 - Statutory Rule

46. Where, by the contract, a promisor is to perform his promise without application by the promisee, and no time for performance is specified, the engagement must be performed within a reasonable time.

Explanation. The question "What is a reasonable time" is, in each particular case, a question of fact.

Meaning and Scope of Section 46

The provision applies when two conditions exist together: the promisor is required to perform without waiting for the promisee to make an application or demand, and the contract fixes no particular time for performance. The law does not permit the obligation to remain indefinitely unperformed. It substitutes the standard of a "reasonable time".

The expression "reasonable time" has deliberately not been reduced to a fixed number of days, weeks or months. The Explanation to Section 46 makes the issue a question of fact. Accordingly, the appropriate period depends on the circumstances of the particular contract rather than on a universal statutory deadline.

Who Are the Promisor and Promisee?

Under Section 2 of the Indian Contract Act, the person making a proposal is the proposer; when the proposal is accepted it becomes a promise. The person making the proposal is then called the promisor, and the person accepting it is called the promisee. These statutory expressions are important for understanding the operation of Section 46.

What Does "Reasonable Time" Mean?

Section 46 itself states that reasonable time is a question of fact in each case. Relevant circumstances may therefore include the nature and object of the contract, the subject matter, commercial or practical circumstances, the conduct of the parties and other facts bearing on when performance could reasonably have been expected.

Important: Section 46 does not prescribe a fixed limitation period for performance. It determines when performance is due under the contract in the circumstances described by the section. Questions concerning limitation for instituting legal proceedings are governed separately by the applicable limitation law.

Essential Requirements of Section 46

  • There must be an enforceable contractual promise requiring performance.
  • The promisor must be required to perform without an application by the promisee.
  • No time for performance must have been specified in the contract.
  • The promise must then be performed within a reasonable time.
  • What constitutes reasonable time is determined from the facts of the individual case.

Section 46 and the Following Provisions

Section 46 is part of the provisions dealing with time and place for performance. Section 47 addresses a promise where a time is specified and no application by the promisee is required. Section 48 concerns performance where application by the promisee is required on a certain day, while Section 49 deals with the place of performance where no place is fixed.

Official Text of the Indian Contract Act

For the current official text of the Act, see the Indian Contract Act, 1872 on India Code. The Act is Act No. 9 of 1872 and was enacted on 25 April 1872.

This article is a general explanation of Section 46 and should be read with the contract as a whole and other applicable statutory provisions.