A number of these collateral contract cases may well be covered by the provisions of the Contracts (Rights of Third Parties) Act 1999, since in many such cases there will be an express or implied intention to confer a contractual right on a third party. For example, in Charnock v Liverpool Corpn, the : As the doctrine of privity of contract and the rule that consideration should move from the promisee appear to achieve the same result, it has been argued that they amount to the same rule since if a contract involves a bargain, a person who is not a party to the bargain is not a party to the contract. This presents two reasons for denying the third party action. First, there is a lack of

doi:10.4324/9781843141518-295

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ABSTRACT

A number of these collateral contract cases may well be covered by the provisions of the Contracts (Rights of Third Parties) Act 1999,11 since in many such cases there will be an express or implied intention to confer a contractual right on a third party. For example, in Charnock v Liverpool Corpn,12 the defendants agreed to repair the plaintiff’s car under an arrangement with the plaintiff’s insurers, but took an excessive time to complete the work, thereby occasioning the plaintiff additional loss. It is relatively easy to see that the contractual arrangements between the insurance company and the garage effecting repairs on the plaintiff’s car were intended to confer a right on the plaintiff as owner of the car.