Quiz on Privity and Contract Law

What is the principle of privity in contract law?

• Only parties to a contract can enforce its terms

• Any third party can enforce a contract

• Contracts can be enforced by anyone

• Only written contracts are enforceable

In the case of Tweddle v Atkinson, who was unable to enforce the contract?

• The son-in-law

• The distributor

• The court

• The father-in-law

What was the outcome of Dunlop Pneumatic Tyre Co Ltd v Selfridge & Co Ltd?

• The contract was deemed void

• Dunlop could not sue as it was not a party

• Selfridge had to pay damages

• Dunlop could sue Selfridge

What is a collateral contract?

• A contract between two parties only

• A separate agreement that allows third parties to enforce a contract

• A contract that is not legally binding

• A contract that is only verbal

In Shanklin Pier Ltd v Detel Products Ltd, what was the main issue?

• The pier owner was not a party to the contract

• The contract was not signed

• The paint was defective

• The pier owner sued the contractor

What principle allows an agent to enter into contracts on behalf of a principal?

• Agency

• Privity

• Trust

• Liability

In Scruttons Ltd v Midland Silicone Ltd, what was the court's ruling regarding the limitation clause?

• The clause was deemed invalid

• Midland Silicone had to pay damages

• Scruttons could benefit from the clause

• Scruttons could not rely on the clause

What must be established to create a trust according to Knight v Knight?

• Certainty of intention, subject matter, and object matter

• A verbal agreement

• A written agreement

• A witness present

In Beswick v Beswick, who was able to enforce the contract?

• The estate administrator

• The nephew

• The uncle's widow

• The court

What was the outcome of Jackson v Horizon Holidays?

• The case was dismissed

• Horizon Holidays was found not liable

• Mr. Jackson was awarded damages for his family's distress

• The family received no compensation