What is the test for determining whether a person is an intended third party beneficiary of a contract?

California, United States of America


The following excerpt is from Knight v. Conroy, E049034, Super.Ct.No. CIVHS700049 (Cal. App. 2010):

Whether a person is an intended third party beneficiary of a contract is a question of fact reviewed under the substantial evidence standard; however, where the issue of whether a third person is an intended beneficiary can be answered by interpreting the contract as a whole, while considering the uncontradicted evidence of the circumstances and negotiations of the parties in making the contract, then the issue becomes a question of law that we resolve independently. (Proutty v. Gores Technology Group (2004) 121 Cal.App.4th 1225, 1233.) In this case, we only need to consider the language of the contract. Consequently, we apply the independent standard of review.

"'The test for determining whether a contract was made for the benefit of a third person is whether an intent to benefit a third person appears from the terms of the contract. [Citation.] If the terms of the contract necessarily require the promisor to confer a benefit on a third person, then the contract, and hence the parties thereto, contemplate a benefit to the third person.'" (Prouty v. Gores Technology Group, supra, 121 Cal.App.4th at p. 1232.)

Other Questions


What is the test for determining whether someone is an intended third party beneficiary of a contract? (California, United States of America)
Can a beneficiary of a third party creditor beneficiary contract rescind the contract before the commencement of an action against the beneficiary? (California, United States of America)
What is the test for determining whether a third party is an intended beneficiary of a contract? (California, United States of America)
What is the "reasonable person" standard in determining whether a person is a reasonable person? (California, United States of America)
What is the test for determining whether a party to a motor vehicle accident can be held liable for injuries sustained as a result of the intervening actions of a third party? (California, United States of America)
What is the test for determining whether a contract was made for the benefit of a third person? (California, United States of America)
What are the basic tests for determining whether a third party has a duty to exercise ordinary care not to injure another person? (California, United States of America)
What is the test for determining whether a defendant's intent or mental state is a factor in determining whether they intended to commit an act of violence? (California, United States of America)
What is the test for determining whether a contract was made for the benefit of a third person? (California, United States of America)
What are the legal tests for determining whether a third party has a duty to exercise ordinary care not to injure another person? (California, United States of America)
X



Alexi white


"The most advanced legal research software ever built."

Trusted by top litigators from across North America.