Category: PRIVITY OF CONTRACT AND CONSIDERATION

ISSUE:

Whether or not the son, being a third party enforce the contract between the fathers?

RULE:

A third party cannot enforce a contract, here, from the groom's side, no consideration flowed for the promise.

ISSUE:

Can Dunlop be allowed to sue Selfridge even though there existed no contractual relationship between them?

RULE:

A third party to a contract can not sue upon the contract.

ISSUE:

Can the plaintiff can bring action for the amount promised against the defendant when the consideration for the promise was paid by the defendant's mother.

RULE:

Section 29(d) of the ICA

ISSUE:

Whether a charge was created in favor of the bank to satisfy the debt arising under the letter of guarantee?

And if such a charge existed, is it enforceable by the bank even though they were not a party to the contract.

RULE:

A beneficiary under a contract that creates a trust in his favor can sue upon a contract.

A beneficiary under a contract who is a part of a family arrangement can sue upon a contract.