Why Do Parties Who Are Not in Privity of Contract

question 85

Multiple Choice

Why do parties who are not in privity of contract usually not have rights to a contract?

• A)Because it would be too difficult to determine who has contractual rights if privity of contract is not required.
• B)Because contracts are private agreements between parties who each agree to give or do something for the other party.
• C)Because it would be against public policy to provide rights to a contract to those without privity.
• D)Because privity of contract is necessary to ensure a contract is in compliance with the UCC.
• E)Because of the statute of frauds.

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Definitions:

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Obligations under law arising from actions or transactions that may result in the need to compensate for damages or losses.

Operation Smile

A nonprofit medical service organization founded to provide free surgical procedures to children and young adults born with cleft lip, cleft palate, and other facial deformities.

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