Chapter 17

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1
Privity of Contract
A contract is a private agreement between the parties who have entered into it, and traditionally these parties alone have rights and liabilities under the contract.

A third party-one who is not a direct party to a particular contract-normally does not have rights under that contract.
2
Assignment
The transfer of contractual rights to a third party is known as this. This occurs after the original contract was made.
3
Delegation
The transfer of contractual duties to a third party is known as this. This occures after the original contract was made.
4
Assignor
In an assignment, the party assiging the rights to a third party is known as this
5
Assignee
In an assignment, the party receiving the rights is known as this
6
Obligee
The person to whom a duty, or obligation, is owed
7
Obligor
The person who is obligated to perform the duty
8
Alienation
The assignment of rights in real estate often cannot be prohibited because such a prohibition is contrary to public policy in most states. These are restraints against ... (transfer of land ownership)
9
Delegator
The party delegating the duties in a contract
10
Delegatee
The party to whom the duties are delegated in a contract is
11
Third Party Beneficiary
The original parties to a contract can agree that the contract performance should be rendered to or directly benefit a third person. When this happens, the third person becomes an intended ... ... ... of the contract.
12
Intended Beneficiary
The party to which a contract is designed to benefit. This party has legal rights and can sue the promisor directly for breach of the contract.
13
Incidental Beneficiary
A third party who receives a benefit from a contract even though that person's benefit is not the reason the cotnract was made. Because the benefit is unintentional, an ... ... cannot sue to enforce the contract.
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