tweddle v atkinson
Privity means that only those who have exchanged consideration (ie are part of a contract) can sue/be sued under that contract
what are the 4 common law exceptions
agency
restrictive covenants
damages on behalf of another
collateral contracts
whats S1(1)(A) of the contracts (rights of third party) act 1999
Where the two parties in the contract specifically say a third party can sue, the third party has rights under the contract
whats S1(1)(B) of the contracts (rights of third party) act 1999
Where the two parties in the contract have not specifically given rights to a third party, but the contract purports/implies that it was made to benefit the 3 rd party, then the 3 rd party will have rights.
what does S1(2) of the contracts (rights of third party) act 1999
Where the two parties in the contract specifically say a third party’s rights are excluded, the third party has no rights under the contract
tulk v moxhay
tulk could prevent moxhay from building on the land even tho tulk had no contract with moxhay
shows that restrictive covenants (promises not to do
something) run with the land, so continue apply to anyone who owns the land, even if there is no consideration with the original owner.
jackson v horizon holidays
if a contract was made on behalf of others, damages can be claimed on behalf of each of those people where appropiate
shanklin pier v detel products
a collateral contract can exist between a party and a third party, even if that third party isn’t directly involved in the main contract.
A collateral contract will be made where:
1. There are 2 contracts involved in the situation.
2. The second contract is a direct result of the first contract
(they are linked).
3. There has been a guarantee of quality from the person being sued to the person who wants to sue
contractots brought detel paint as a result of their contract with the pier, so when detel gave gurantee about the paint, the peir themselves could enforce this
nisshin shipping v cleaves
contract didnt specfically say the broker could sue, cannot be SI(1)(A)
contract suggested that he should be able to sue as he was meant to get 1%
s1(1)(B)
whats an agency
Agency works by treating the agent and the principal as if they are legally the same person, so
any contract with an agent is actually with the principal.
what are restrictive covenants
if a promise is made to not do something on the land, this applies to anyone who buys the land regardless if that promise isnt or is in their contract
what are collateral contracts
a party enters has a contract with one person, then makes a second contract with someone else as a result of that contract
the second contract involves a promise or guarantee about quality, this can be enforced by the OG party
