Contracts for the Benefit of Third Parties: The Indian Perspective

The Indian law recognizes the privity rule that prevents enforcement of a contract by third party beneficiaries. This Chapter states the Indian law relating enforcement of terms of a contract by third party beneficiaries. Click or copy this link for a preview of this article: https://books.google.com/books/about/Formation_and_Third_Party_Beneficiaries.html?id=FkBFDwAAQBAJ This doctrine of privity was incorporated into the Indian law before the Indian Contract Act 1872 was enacted. Althouth the Act does not state the privity rule, it’s existence in the Indian law is attributed to the language of the provisions of the Act, and also as incorporation of the English law into the Indian law. Indian judgments have found ways around the rule in the well-accepted exceptions also found in the English law, recognition of some exceptions in the peculiar Indian circumstances, and by classifying the privity rule as a rule of procedure rather than in substance.