Doctrine of privity and its application in relation to sub-contractitor's pay

This study examines the doctrine of privity and its application in the construction industry. Doctrine of privity is related to issues of the creation of contractual obligations, concerning with the question of who has rights and liabilities under a contract. Sanctity of doctrine of privity means gi...

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Main Author: Mohd Amin, Nor Aida
Format: Thesis
Published: 2013
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Online Access:http://eprints.utm.my/id/eprint/34606/
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spelling my.utm.346062017-09-13T07:07:23Z http://eprints.utm.my/id/eprint/34606/ Doctrine of privity and its application in relation to sub-contractitor's pay Mohd Amin, Nor Aida K Law (General) This study examines the doctrine of privity and its application in the construction industry. Doctrine of privity is related to issues of the creation of contractual obligations, concerning with the question of who has rights and liabilities under a contract. Sanctity of doctrine of privity means giving recognition to the contractual framework with appropriate legislation. It is a general idea that once parties duly enter into a contract, they must honour their obligations under that contract. However, along the way during the construction period, the situation the employer tends to intervention the construction process by passing the main contractor and goes direct to the sub-contractor is almost common, particularly in the payment issues. The main obstacle in this intervention is there is no privity of contract between the employer and the sub-contractor. It is submitted that doctrine of privity contract theory cannot accommodate third party rights. The comparative study shows that the doctrine of privity is embedded comfortably in Malaysia and UK law based on the decision made by the Malaysia and United Kingdom court. Numerous decisions of the courts in Malaysia and UK had recognised and supported the application of the doctrine. However, this study identified that there are few exceptions exist within the doctrine of privity such as assignment, trust, collateral contract, bill of lading and insurance contract. In the construction environment, most of the exception was created by meeting the needs of the employer to overwhelm the crucial situation due to dispute created by parties in the construction contract. 2013-01 Thesis NonPeerReviewed Mohd Amin, Nor Aida (2013) Doctrine of privity and its application in relation to sub-contractitor's pay. Masters thesis, Universiti Teknologi Malaysia, Faculty of Built Environment.
institution Universiti Teknologi Malaysia
building UTM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Teknologi Malaysia
content_source UTM Institutional Repository
url_provider http://eprints.utm.my/
topic K Law (General)
spellingShingle K Law (General)
Mohd Amin, Nor Aida
Doctrine of privity and its application in relation to sub-contractitor's pay
description This study examines the doctrine of privity and its application in the construction industry. Doctrine of privity is related to issues of the creation of contractual obligations, concerning with the question of who has rights and liabilities under a contract. Sanctity of doctrine of privity means giving recognition to the contractual framework with appropriate legislation. It is a general idea that once parties duly enter into a contract, they must honour their obligations under that contract. However, along the way during the construction period, the situation the employer tends to intervention the construction process by passing the main contractor and goes direct to the sub-contractor is almost common, particularly in the payment issues. The main obstacle in this intervention is there is no privity of contract between the employer and the sub-contractor. It is submitted that doctrine of privity contract theory cannot accommodate third party rights. The comparative study shows that the doctrine of privity is embedded comfortably in Malaysia and UK law based on the decision made by the Malaysia and United Kingdom court. Numerous decisions of the courts in Malaysia and UK had recognised and supported the application of the doctrine. However, this study identified that there are few exceptions exist within the doctrine of privity such as assignment, trust, collateral contract, bill of lading and insurance contract. In the construction environment, most of the exception was created by meeting the needs of the employer to overwhelm the crucial situation due to dispute created by parties in the construction contract.
format Thesis
author Mohd Amin, Nor Aida
author_facet Mohd Amin, Nor Aida
author_sort Mohd Amin, Nor Aida
title Doctrine of privity and its application in relation to sub-contractitor's pay
title_short Doctrine of privity and its application in relation to sub-contractitor's pay
title_full Doctrine of privity and its application in relation to sub-contractitor's pay
title_fullStr Doctrine of privity and its application in relation to sub-contractitor's pay
title_full_unstemmed Doctrine of privity and its application in relation to sub-contractitor's pay
title_sort doctrine of privity and its application in relation to sub-contractitor's pay
publishDate 2013
url http://eprints.utm.my/id/eprint/34606/
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score 13.211869