New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Which of the undermentioned is not an exception to the

    Doctrine of Privity of Contract?
    A Time -barred Debt Correct Answer Incorrect Answer
    B Assignment of a Contract Correct Answer Incorrect Answer
    C Contract through an agent Correct Answer Incorrect Answer
    D Covenant running with land Correct Answer Incorrect Answer
    E Acknowledgement or Estoppel Correct Answer Incorrect Answer

    Solution

    Section 25 Agreement without consideration, void, unless it is in writing and registered, or is a promise to compensate for something done, or is a promise to pay a debt barred by limitation law. On the other hand, Doctrine of Privity is a common law principle which implies that only parties to a contract are allowed to sue each other to enforce their rights and liabilities and no stranger can sue to get the contract enforced. In exceptional case strangers to a contract can sue if they are beneficiary.

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