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Shanklin Pier v Detel Products

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Shanklin Pier v Detel Products

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by MikeLittle.
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  • June 13, 2017 at 5:04 pm #393020
    iloveaccountancy
    Member
    • Topics: 119
    • Replies: 111
    • ☆☆☆

    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.

    June 13, 2017 at 6:49 pm #393034
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23327
    • ☆☆☆☆☆

    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!)

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