Test Your Knowledge on Ghana's Contracts Act and Third Party Rights!

Which of the following is a prerequisite for the enforceability of third party rights under Section 5(1) of Ghana's Contracts Act, 1960?

According to Section 5(2) of Ghana's Contracts Act, 1960, which of the following provisions in a contract is not applicable to a third party?

According to Section 6 of Ghana's Contracts Act, 1960, what happens to a third party's right to enforce or rely on a provision in a contract if there is a variation or rescission of the contract?

Ghana's Contracts Act, 1960 (Act 25) abolished the common law rule on privity of contracts.
Sections 5, 6, and 10 of the Act changed the received law on privity of contract.
Section 5(1) allows a person who is not a party to a contract to enforce or rely on a provision in the contract if it confers a benefit on them.
The intention to confer a benefit on the third party by the parties to the contract is an important prerequisite for the enforceability of third party rights.
The third party must be within the parties' contemplation as someone on whom they purport to confer some right or benefit arising from the contract.
The promisee must have an intention to confer a benefit on the third party for section 5(1) to apply.
An intent to confer a benefit on a third party must mean either an intent to confer a gift on them or an intent to discharge an obligation owed to them.
Section 5(2) does not apply to a provision in a contract designed for the purpose of resale price maintenance or a provision purporting to exclude or restrict any liability of a person who is not a party to the contract.
Section 6 provides that no variation or rescission of the contract shall prejudice the third party's right to enforce or rely on the provision if they have acted to their prejudice in reliance thereon, unless they consent to the variation or rescission.
Section 10 states that no promise shall be invalid as a contract by reason only that the consideration is supplied by someone other than the promisee.

Test your knowledge on Ghana's Contracts Act, 1960 (Act 25) and its impact on the common law rule on privity of contracts. This quiz will cover the important provisions of the Act, including sections 5, 6, and 10, and the prerequisites for the enforceability of third party rights. Whether you are a law student or a legal professional, this quiz will challenge your understanding of the Act's implications for contract law in Ghana.