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Sagot :
Only the parties to a sales contract could sue each other under the traditional concept of privity of contract.
Privity of contract :
A common law doctrine which prevents a person who is not a party to a contract from enforcing a term of that contract, even where the contract was made for the purpose of conferring a benefit on the third party. The UK Contracts (Rights of Third Parties) Act 1999 reformed the privity of contract rule and gives a person who is not a party to a contract a right to enforce a term of that contract in specified circumstances.
What is an example of privity of contract?
Privity is an important concept in contract law. Under the doctrine of privity, for example, the tenant of a homeowner cannot sue the former owner of the property for failure to make repairs guaranteed by the land sales contract between seller and buyer as the tenant was not "in privity" with the seller.
Learn more about contract law :
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