-> means people directly involved in a contract can enforce it or be held responsible
consideration in a contract must move from the promisee
-> in a contract, the benefit should go to the person to whom the promise is made
tweedle v atkinson-> legal principle of privity state only the person to whom the promise is made
-> another party cant enforce the agreement
can be seen as causing injustice and courts on occasions have tried to find ways to avoid the rule
jackson v horizon holidays - booked a holiday for himself and family-> holiday disappointing so sued for damages
-> wasnt fair to just compensate Mr Jackson and not his whole family
exceptions 1
agency- where one person (agent) is authorised by another (principle) to make a contract on their behalf e.g. football players
-> principle bound by terms even if they didnt make the contract themselves
2. collateral contracts- 2nd contract that runs alongside the main one- courts can avoid the rule by finding a 2nd contract
shanklin pier v detel products- assured painters paint would last 7yrs but only lasted 3mths -> emphasises importance of honesty/ accuracy in product representations
exceptions 2
3. restrictive covenants -> where purchaser of land promises the seller that he will/want to do something on the land being sold
-> becomes part of the title and each time the land is sold, the subsequent purchases are legally bound to the restrictive covenant even though they weren't party to the original agreement
tulk v moxhay-> sold land with condition of not building on the land, 2nd buyer planned to build and court ruled in favour of tulk
