Third Party Rights Flashcards
- When is a third party given the right to enforce a term of the contract?
.
- What rights are given to a third party?
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- What defences are available to the promisee in an action brought by the third party?
.
- To what extent can the parties to the contract vary or rescind the contract?
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- How can the parties to a contract exclude the rights of a third party?
.
Activity 11.4
What is the relationship between the 1999 Act and the common law with regard to
the provision of exceptions to privity?
Activity 11.5
Is it likely that courts will accept a ‘performance interest’ on the part of a promisee
and allow the promisee to recover substantial damages for a breach which deprives
the third party of his intended benefit?
Activity 11.8
A contracts with B for B to carry goods between Dover and Calais by sea. Included
in this contract is a clause that exempts B and B’s agents, employees and
subcontractors from liability for any damage, howsoever caused. B contracts with
C for C to unload the ship. The ship carries several cargoes besides A’s goods. In
unloading goods belonging to Z, C accidentally destroys A’s goods. What advice do
you give to C as to his liability to A for the damage?
a. Would the widow in Re Schebsman have been better off if there had been a trust?
b. In what way, if at all, does the decision in
Beswick v Beswick form an exception to privity?
c. How would the Contracts (Rights of Third Parties) Act 1999 affect the decision in Beswick v Beswick?
d. How would the Contracts (Rights of Third Parties) Act 1999 affect the decision in
New Zealand Shipping v AM Satterthwaite?
e. Following the enactment of the 1999 Act, is it likely that courts will continue to
devise exceptions to the doctrine of privity?
- What are the two aspects of the doctrine of privity?
- Name three devices used in common law to give enforceable benefits to third parties.