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Third party rights enacted

The Contracts (Rights of Third Parties) Act 1999 came into force on 11 May.

The Act provides for the right of a person who is not a party to a contract (a 'third party') to enforce a term of a contract in certain circumstances. This is only when a contract expressly states so or it is the intention of the parties to do so. Option Y (UK) 3 is intended to avoid giving third parties any rights inadvertently. The amendment can be found on the ICE web site in the Specialisms section under Contracts and Legal.

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