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Sections 66–67 of the Indian Contract Act, 1872: Communicating Rescission and Promisee Neglecting to Afford Facilities

Rescission of a voidable contract may be communicated or revoked in the same manner, and subject to the same rules, as apply to a proposal (s.66). If a promisee neglects or...

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October 1, 2026
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Last updated: October 2026Verified against: Government sources

Section 66 says how a voidable contract is rescinded or the rescission revoked: in the same manner, and subject to the same rules, as a proposal is communicated or revoked. Section 67 says that if a promisee neglects or refuses to give the promisor reasonable facilities for performance, the promisor is excused for any non-performance caused by that neglect or refusal. If you are in a situation where the other side is blocking your work, our legal consultation service can help you plan the next step.

Section 66: mode of communicating or revoking rescission

"The rescission of a voidable contract may be communicated or revoked in the same manner, and subject to the same rules, as apply to the communication or revocation of a proposal."

A footnote refers the reader to sections 3 and 5. Those sections deal with communication and revocation of proposals; our articles on them are listed below. In plain words, section 66 does not create new rules for rescission. It borrows the rules for proposals.

What the borrowing means in practice:

  • Communication. Rescission is communicated in the manner and subject to the rules that apply to the communication of a proposal. The rules themselves are in the earlier sections: see section 3 and sections 5 and 6.
  • Revocation. A rescission can be revoked, again in the same manner and subject to the same rules as a proposal's revocation.

The section is about a voidable contract: one that is voidable at someone's option, such as under section 53 (prevention) or section 55 (time of the essence) covered earlier in this series. Section 64 deals with the consequences once a voidable contract is rescinded; see sections 63 to 65.

The text of s.66 does not give illustrations, and it does not say what form a notice of rescission should take.

Section 67: neglect of promisee to afford facilities

"If any promisee neglects or refuses to afford the promisor reasonable facilities for the performance of his promise, the promisor is excused by such neglect or refusal as to any non-performance caused thereby."

Parts of the sentence:

  1. The promisee neglects or refuses. Both carelessness and refusal count.
  2. "Reasonable facilities for the performance." The test is reasonable facilities. The section does not list them; it depends on the work.
  3. "The promisor is excused ... as to any non-performance caused thereby." The excuse covers only the non-performance that the neglect or refusal caused. It is not a blanket excuse for everything.

The Act's illustration

A contracts with B to repair B's house. B neglects or refuses to point out to A the places in which the house requires repair. A is excused for the non-performance of the contract if it is caused by such neglect or refusal.

Related rule in section 53

Section 53 also deals with a promisee who gets in the way, but it gives the prevented party a different set of consequences: the contract is voidable at the prevented party's option and compensation is payable; see sections 51 to 53. Section 67 says only that the promisor is excused for the non-performance caused. The two sections use different wording ("prevents" in s.53; "neglects or refuses to afford reasonable facilities" in s.67), and the text does not say they are the same thing.

PointSection 53Section 67
TriggerOne party prevents the other from performingPromisee neglects or refuses to afford reasonable facilities
Result statedContract voidable at the prevented party's option; compensationPromisor excused as to non-performance caused thereby

A modern example (ours)

Ravi Contractors agrees to install a new air-conditioning system in Sheela's clinic by 31 March. Ravi's team needs the clinic's electrical load drawings and access to the server room. Sheela's office does not hand over the drawings and keeps the server room locked for three weeks despite repeated emails. The installation is not finished on 31 March. Under s.67, Ravi is excused for the non-performance caused by Sheela's neglect or refusal. If the installation would also have been late because of Ravi's own labour shortage, the excuse covers only the non-performance caused by the lack of facilities; the text says "caused thereby".

What can the parties change?

Neither section includes "unless a contrary intention appears". Contracts commonly list the facilities the promisee must provide (access, drawings, approvals, data), and give a timeline for them. This turns the "reasonable facilities" question into a checkable list. For rescission, a contract may say how a notice of cancellation must be sent; section 66 then operates together with that clause, subject to the contract's wording.

Practical points

  • Write down what you need from the other side and by when, in the contract or an early email.
  • Ask in writing when facilities are not provided, and keep dated proof.
  • Do not simply stop work. Record how the neglect or refusal caused the non-performance, since the excuse covers only what was "caused thereby".
  • Send rescission notices in a manner that follows the proposal rules: use clear words and a method that can be shown later.
  • Revoke carefully. If you change your mind about a rescission, do it under the same rules and record it.

Need help when the other side blocks performance?

If your work is stalled because the other party will not give access or information, a record of requests and refusals is the starting point. Our legal consultation team can review the contract and your messages and advise on the right response. Bring the contract and the correspondence.

Key takeaways

  • Rescission of a voidable contract is communicated or revoked in the same manner and under the same rules as a proposal (s.66).
  • If a promisee neglects or refuses to afford reasonable facilities, the promisor is excused as to non-performance caused thereby (s.67).
  • The Act's illustration: a repairer is excused where the owner will not point out what needs repair.
  • The excuse covers only what the neglect caused.

Read next

Disclaimer: Based on the text of the Indian Contract Act, 1872 as consulted on 1 October 2026. Many questions under this Act turn on case law and on the wording of the particular contract, which this article does not cover. It is general information, not legal advice; check the official text and take advice before acting.

Quick recapKey facts & short answers

Key Facts About Of the Indian Contract

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

How is rescission communicated under section 66?

In the same manner, and subject to the same rules, as the communication of a proposal. The footnote refers to sections 3 and 5.

Can a rescission be revoked?

Yes, in the same manner and subject to the same rules as apply to the revocation of a proposal.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

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Short, direct answers to the 6 questions readers ask most on this topic.

In the same manner, and subject to the same rules, as the communication of a proposal. The footnote refers to sections 3 and 5.

Yes, in the same manner and subject to the same rules as apply to the revocation of a proposal.

The text does not define them. The Act's illustration is pointing out which places need repair.

Only non-performance "caused thereby", that is, caused by the neglect or refusal.

No. Section 53 deals with one party preventing the other and gives voidability and compensation; section 67 provides an excuse for non-performance caused by the neglect or refusal.

The text says nothing about writing.