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Topic 7
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TOPIC 7 Doctrine of Privity to Contract 7.1 Introduction Rule: A non-contracting party: * cannot enforce the contract; and * cannot be bound by the terms of the contract 7.2 Common law 7.2.1 General rule Doctrine of privity. Sometimes discussed as "Third Party Rights" Fundamental principle of privity: No one may be entitled to, or be bound by, the terms of a contract to which he is not an original party. Dunlop Pneumatic Tyre Co v Selfridge Co Ltd [1915] AC 847 HL P sold tyres to Dew and Co, wholesale distributors, on terms that Dew and Co would obtain anundertaking from retailers that they would not sell below P's list price. Dew and Co sold some of the tyres to D, who retailed them below list price and P sought an injunction and damages. See also: Tweddle v Atkinson (1861) 1 B & S 393 Beswick v Beswick [1968] AC 58 HL UK Contracts (Rights of Third Parties) Act 1999 7.2.2 Attempts to Avoid the Doctrine May be made...
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