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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Shanklin Pier v Detel Products
Hi Mike.
From the study guide:
“In collateral contracts, an injured party can sue even though the other party is not a party to the contract ( Shanklin Pier v Detel Products)”
In the cited case, where was the contract between Shanklin and Detel? I can understand that it was perhaps a misrepresentation, but they were not in a contract together. I do not understand how this case is considered to involve a ‘collateral’ contract.
Shanklin were in contract with the painter and the painter recommended Detel as manufacturers of superb paint
And it wasn’t
So the contract with Detel was collateral with the contract with the painter
That will do! (You don’t need to know the painter’s name!)