A person who is not a party to a contract, but has legal rights to enforce the contract or share in proceeds because the contract was specifically intended for that person's benefit. For example, a grandparent contracts to buy a car for a grandchild. If the seller refuses to go through with the deal after receiving payment, the grandchild may sue, even though not a party to the contract. Compare: incidental beneficiary.
Category: Business, LLCs & Corporations → Self-Employed Consultants & Contractors
Category: Representing Yourself in Court
Category: Small Claims Court & Lawsuits
Category: Working With a Lawyer
Nolo’s Plain-English Law Dictionary. Gerald N. Hill, Kathleen Thompson Hill. 2009.