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privity legal definition
noun
A legally recognized
relationship of interest of two parties, be it in a transaction, a piece of
property, or a proceeding.
horizontal privity
. The legal relationship between two parties in a
distribution chain who are on equal level, as between two consumers. See also vertical privity.Â
privity of contract
The relationship between the two parties to a contract that
confers a right to take action on the contract; largely abrogated by enactment
of warranty laws, permitting suits by users of products despite lack of privity
with manufacturers.
privity of estate
A joint or successive relationship to a property involving
transfer of possession by contract, judgment, or descent, as between landlord
and tenant, or life tenant and remainderman.
vertical privity
- The legal relationship between links in a productÂ’s distribution chain.
- The privity between a person who signs a contract containing a restrictive clause and the person acquiring the property that is so restricted.
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