Free US Law Dictionary
BETA
Privity
The doctrine of privity in contract law provides that a contract cannot confer rights or impose obligations arising under it on any person or agent except the parties to it.
This seems to make adequate sense, in that only parties to contracts should be able to sue to enforce their rights or claim damages as such. However the doctrine has proven problematic due to its implications upon contracts made for the benefit of third parties who are unable to enforce the obligations of the contracting parties.
No Privity
A client in a divorce case entered into a settlement agreement that included disposition of two parcels of land. Her attorney reviewed a quitclaim deed drafted by opposing counsel and the client executed the agreement...
Privity Rule
The Minnesota Supreme Court reversed a lower court decision that had allowed a malpractice suit against Dorsey & Whitney on a theory that a non-client of the firm in a complex loan transaction was a third-party beneficiary of the firm's...
No Privity, No Cause Of Action
The Ohio Supreme Court has held that a beneficiary of a will may not maintain a negligence action against the attorney of the decedent for the preparation of a deed that resulted in an increased tax liability for the estate:...
Privity Still Counts, Even in the Big Cases
The collapse of a hedge fund gives rise to a legal malpractice claim by various of the investors. The hedge fund impresario is convicted of securities fraud, and then turns around to help the investors sue the funds' attorney...
Again, that Privity Thing in Legal Malpractice
Who may sue the lawyer? Is it the corporation / LLC / etc. or the individual? Here, in this Schulte Roth case [McCagg v...
Privity and Estates in Legal Malpractice
The question of estate legal malpractice is fraught with standing problems. For example, if attorney drafts a will which is the product of undue influence, or demonstrably runs contra to the decedent's desires, who has the capacity to sue?
In Texas the rule seems more relaxed than in NY...
















