Ace the Contracts & Sales Bar Challenge 2025 – Seal the Deal with Style!

Image Description

Question: 1 / 400

Which concept allows a third party to sue for enforcement of a contract?

Intent to benefit

The concept that allows a third party to sue for enforcement of a contract is based on the principle of "intent to benefit." This principle arises primarily under the doctrine of third-party beneficiaries. When the primary parties to the contract intend to confer a benefit upon a third party, that third party may have the legal right to enforce the contract.

In essence, if the parties to the contract clearly express an intention to benefit a third party, and that third party is identified as a beneficiary, they can step into the shoes of the contracting parties and seek enforcement if the contract is breached. This aligns with the idea that contractual rights can extend beyond the original parties involved, thus ensuring that the intended beneficiaries can claim what was meant for them.

The other concepts such as consideration, mutual assent, and the existence of conditions do not directly relate to giving third parties the right to enforce a contract. Consideration refers to something of value exchanged between parties, mutual assent encompasses the agreement between parties on the terms of the contract, and the existence of conditions pertains to specific events that must occur for the contract obligations to be triggered. While these elements are critical to the formation and enforceability of a contract between the original parties, they do not establish the legal standing for third parties

Get further explanation with Examzify DeepDiveBeta

Consideration

Mutual assent

Existence of conditions

Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy