ABSTRACT

Once all the essential elements of a contract have been established, the rights and obligations of the parties must be examined. In this chapter, we consider the following:

(a) the parties to a contract: the law places some limits on the ability or capacity of some classes of persons to enter into a contract; and

(b) the doctrine of ‘privity of contract’: in the majority of situations, the parties to a contract will consist of the promisor and promisee. Third parties may, however, accumulate rights under a contract.