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Privity of contract

   Also found in: Medical, Wikipedia 0.01 sec.

PRIVITY OF CONTRACT. The relation which subsists between two contracting parties. Hamm. on Part. 182.
     2. From the nature of the covenant entered into by him, a lessee has both privity of contract and of estate; and though by an assignment of his lease he may destroy his privity of estate, still the privity of contract remains, and he is liable on his covenant notwithstanding the assignment. Dougl. 458, 764; Vin. Ab. h.t. 6 How. U. S. R. 60. Vide Privies.



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Architects and other design professionals were previously insulated from such liability because there was no privity of contract between the parties, that is, no contract between the architect or design professional and the contractor.
Architects can't afford to be negligent under new laws by Buff, Robert C. / Real Estate Weekly
In this case, the plaintiff alleged no privity of contract or statutory duty on which to premise a duty of care.
AICPA not negligent in promulgating professional standards by Baliga, Wayne / Journal of Accountancy
District Court for tile Northern District of Illinois ruled that under Illinois law unless the plaintiff is in privity of contract with an accountant, the accountant generally will not be held liable for negligence.
Court upholds privity defense in Illinois by Baliga, Wayne / Journal of Accountancy
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