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BJS and Academic Preparation Series: The Doctrines of Contract Law-Part-I-by Judge Nazmul Hasan

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The Doctrines of Contract Law Doctrine of Privity of Contract : This doctrine is rooted in English law from a famous case of Tweddle vs. Atkinson , 123 ER 762. This doctrine means that stranger to the contract cannot sue. It means that in a contract, obligations arise between the parties to the contract only. A person who is not party to the contract i.e. stranger to contract cannot institute an action on the basis of contract. For example, if a contract has been between X and Y and some benefit has been conferred on Z, who is not a party to contract, then the Z cannot sue on the basis of contract. There are some exceptions to this doctrine. Such as: (i) Beneficiaries under trust or charge,(ii) Family arrangements, marriage settlements or partition, (iii) Acknowledgement or estoppel, (iv) Covenants running with land.   Doctrine of Privity of Consideration : Doctrine of privity of consideration provides that the considerat...