01. Privity of contract.

Question 1

Privity of contract.

Answer 1

The doctrine that only a party to a contract has enforceable rights or obligations under it.

Question 2

The doctrine that only a party to a contract has enforceable rights or obligations under it.

Answer 2

Privity of contract.

Question 3

Consideration must move from the …

Answer 3

promisee

Question 4

No one may be entitled to or bound by the terms of a contract to which …

Answer 4

they are not a party.

Question 5

If A promises B to confer a benefit upon C. Can C sue to enforce that promise?

Answer 5

No. C has given no consideration.

Consideration must move from the promisee.

Question 6

Third Party motor insurance is an example of …

Answer 6

exception to privity of contract.

Question 7

An agent (can / can not) enforce a contract made between their principal and a third party.

Answer 7

can not

Question 8

A custmer of an employer (may / may not) use the Contracts (Rights of Third Parties) Act (1999) to enforce an employee’s obligations to their employer.

Answer 8

may not

the act expressly excludes contracts of employment

Question 9

A principal may sue on a contract entered into on his behalf by …

Answer 9

an agent

Question 10

Contracts (Rights of Third Parties) exceptions to privity: EP*, CAB (UAT ETP NI)

Answer 10

express provision

Question 11

Contracts (Rights of Third Parties) exceptions to privity: EP, CAB* (UAT ETP NI)

Answer 11

confers a benefit

Question 12

Contracts (Rights of Third Parties) exceptions to privity: EP, CAB (UAT ETP NI)*

Answer 12

unless at the time the right to enforcement by a third party was not intented

Question 13

Contracts (Rights of Third Parties) exceptions to privity: EP, CAB (UAT ETP NI)*

Answer 13

Express provision within the contract that a third party may sue.

The contract confers a benefit, unless it appears that at the time enforcement by third parties was not intended.

Question 14

A holder in due course of a bill of exchange …

Answer 14

can sue all prior holders.

Question 15

An exectutor, including one of a coal merchant, may …

Answer 15

sue to enforce a contract entered into by the deceased.

Question 16

A beneficiary, including one of a lease on Romford market…

Answer 16

may sue a trustee

Question 17

A final consumer of goods, including a bottle of ginger beer …

Answer 17

may sue the manufacturer in tort.

Question 18

An employer, including one of a crane driver …

Answer 18

may be sued by someone who is a victim of their employee’s negligence.

Question 19

The subsequent owner of land, including Leicester Square …

Answer 19

is bound by restrictive convenants included within earlier contracts of sale.

Question 20

In a collateral situation, including the purchase by a contractor of inferior paint, …

Answer 20

the manufacturer may be sued by the end user.

Question 21

In Beswick v Beswick, old Mrs. Beswick was only able to succesfully sue in her capacity as …

Answer 21

administrator (administratrix) of her late husband’s estate, not as a beneficiary under the contract.

Question 22

In Beswick v Beswick, old Mrs. Beswick was only able to succesfully sue …

Answer 22

as an administrator, NOT as a beneficiary.

Question 23

Exceptions to privity: A*, AaE, BAT, TPMI, CROTPA

Answer 23

agency

Question 24

Exceptions to privity: A, AaE*, BAT, TPMI, CROTPA

Answer 24

administrators and executors

see Beswick v Beswick

Question 25

Exceptions to privity: A, AaE, BAT*, TPMI, CROTPA

Answer 25

beneficiaries and trustees

see Keech v Sandford

Question 26

Exceptions to privity: A, AaE, BAT, TPMI*, CROTPA

Answer 26

third party motor insurance

Question 27

Exceptions to privity: A, AaE, BAT, TPMI, CROTPA*

Answer 27

Contract (Rights of Third Parties) Act

Question 28

Exceptions to privity.

Answer 28

Agency relationships.
Administrators and Executors
Beneficiaries and Trustees
Third Party motor insurance
Contract (Rights of Third Parties) Act