Privity: Contract and Estate

Contract Law: The Doctrine of Privity - YouTube

Privity of Contract

This is the precise relationship between two parties to a contract.

They each have rights to sue one another because they have “privity of contract”

An independent third party who would like to see the contract performed cannot sue, since they have no privity of contract.

Privity of Estate

An estate is an interest in land. Tenure by way of a lease is an example. In respect to the temporal occupation of the property for the next one year period, both the Landlord and the Tenant have “privity of estate”, because it’s the same tenure that we are talking about, namely the temporal right to occupy the premises for the next year.

Brian Madigan LL.B., Broker

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