Article
Privity and third-party beneficiaries
We are taught that the only parties to a contract are the signatories. The term “privity” is used to describe the direct contractual relationship between these parties. Usually suppliers or subcontractors cannot file a claim arising from a dispute between the prime contractor and public entity because the supplier or subcontractor is not in “privity” with the public entity. But sometimes a supplier or subcontractor can overcome the hurdle of not being in “privity” with...
