Privity Flashcards
What is privity?
- cases
A contract can only be enforced by/against the parties to the contract
- Tweedle v Atkinson
When are there exceptions to the rule of Privity?
What are these?
Where the rule of privity is unjust, there are common law exceptions.
- Agency
- Restrictive Covenants
- Collateral Contracts
- statutory exceptions
Explain Agency?
- cases
A contracting party may sue on behalf of another who was intended to benefit from the contract
- Jackson v Horizon Holiday’s
Explain Restrictive covenants
- cases
Binds purchaser of land to not do something on the land
- Tulk v Moxhay
Explain Collateral Contracts
- cases
Courts may find a second contract alongside main one to avoid strict rule of privity
- Shanklin Pier v Detel Products
Where are statutory exception allowed?
What is the statutory exception?
- supporting case
When party identified to benefit from contract cant sue under the common law exceptions.
- The contracts (Right of third party) Act 1999
- Nisshin Shipping v Cleaves