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Author Topic: Contract Law _ Privity of Contract and Privity of Consideration  (Read 1416 times)

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Offline vijay_legal

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hi,

I have a legal case which i need to discuss on the defendent stand point. This is part of the business management course which i am doing from XLRI, Jamshedpur. We are studying a subject called 'Business Law'.

The Facts of the case goes like this,
Mr. Meglani was a trader of diamonds based in Hyderabad and was a supplier to Rosy Blue Ltd. a large diamond conglomerate. One Mr Roy entered into contract with Mr Meglani to sell him, 10 very rare pink diamonds for $1,000,000, a piece. Rosy Blue had a contract with Meglani to buy diamonds worth upto $10,000,000 annually and after being told by Meglani about the contract with Mr. Roy, Rosy Blue included the diamonds in their brochure for future sale. Mr. Meglani passed away before the date of delivery of the diamonds and Mr. Roys sold the diamond to Euro start ltd. which was a competitor of Rosy Blue. Rosy Blue sued Roy for specific performance of contract claiming that they were the beneficiary in the original contract signed between Mr. Meglani and Mr. Roy. Kindly advise Roy with regards to the case.
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We are analyzing this case as group and we have difference of opinion among us. That is the reason i am seeking help from experts via this forum.

My part of the analysis, i am attaching with this thread. Kindly go through this and please, please, please, please, advise.

This would be of great help.

Thanks,
Vijay


 

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