for situations involving defective products and a few of common law mechanisms

For situations involving defective products and a few

This preview shows page 13 - 14 out of 14 pages.

for situations involving defective products, and a few of common law mechanisms available to evade the rule. - The common law mechanisms include (i) liberal construction as to who is a party to the contract, (ii) collateral contract, (iii) agency, (iv) trust, (v) tort of negligence, (v) estoppel and (vi) remedies for breach of contract. Difficulties Created by the Privity Rule to Contracts Made for the Benefit of 3rd Parties: Tweddle v Atkinson [1861] where a contract was made between the plaintiff’s father and his future father-in-law (defendant) to make payments of money to the plaintiff upon his marriage. It was stated in the agreement that the plaintiff “has full power to sue the said parties in any court of law or equity for aforesaid sums hereby promised and specified.” Both the original contracting parties had passed away and the defendant’s administrator of estate did not fulfil the contractual obligation of paying a sum of money to the plaintiff. The plaintiff brought an action to claim payment intended for him under the contract. The plaintiff stated that he had ratified and assented to the agreement shortly after the agreement was created. The court held that the plaintiff’s action must fail because he was not a party to the contract and consideration of the contract did not move from him. It is very clear that the outcome of this case was inconsistent with the contracting parties’ intention as evidenced by the term of the agreement allowing the plaintiff to enforce the contract. Beswick v Beswick [1968]
Image of page 13
the nephew’s promise that the deceased would be appointed as a consultant to the said business and after his death, the nephew would pay annuity to the deceased’s wife. After the death of the deceased, the nephew refused to make payments to the widow after making the first payment. The widow brought an action against the nephew in her capacity as administratrix and also in her personal capacity for specific performance of the agreement. The House of Lords in a unanimous decision held that the widow could not enforce the contract in her personal capacity even though the contract was clearly intended to benefit her because she was not privy to the contract.
Image of page 14

You've reached the end of your free preview.

Want to read all 14 pages?

  • Winter '17
  • Daniel

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes
A+ icon
Ask Expert Tutors