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Review Your SQE 1 Practice Records

Examination Timing: 00H01M41S

The Canine Welfare Society (CWS) contracted with Ken's Kennels for the supply of puppies to sell to reputable individuals. Linda bought one of the puppies from Ken's Kennels, subject to an express provision in the contract of sale, that CWS may enforce contractual rights against her if she is found to be mistreating the puppy. CWS has received credible evidence that Linda has mistreated the puppy. 

Can CWS bring such an action against Linda under the Contracts (Rights of Third Parties) Act 1999, even though it does not benefit from the contract?

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Section 1(1)(a) of the Contracts (Rights of Third Parties) Act 1999 states that a third party may enforce a term of the contract if the contract expressly provides that it may. In this case, the contract between Ken's Kennels and Linda specifically allows CWS to enforce contractual rights against Linda if she mistreats the puppy. Therefore, CWS can bring an action against Linda under this provision, even though CWS is not directly benefiting from the contract. 

Key Point: The Contracts (Rights of Third Parties) Act 1999 allows third parties to enforce terms of a contract if the contract explicitly provides for this right. This legislation ensures that third parties can have enforceable rights when explicitly mentioned in a contract, overcoming traditional privity of contract limitations.

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