Question

The following item consists of two Statements. One labelled the 'Assertion A' and the other labelled the "Reason R". You are to examine these two Statements carefully and decide if the Assertion A and the Reason R are individually true and if so whether the Reason is a correct explanation of the Assertion. Select your answer to this item using the codes given below and mark your answer sheet accordingly.

Assertion (A): A stranger to a contract has no right to enforce it against the parties to the contract.

Reason (R): Privity of contract between the parties is essential for enforcement of contract.

Options

• Both A and R are true and R is the correct explanation of A 

• Both A and A are true but R is not a correct explanation of A

• A is true but R is false 

• A is false but R is true

Answer 1

Both A and R are true and R is the correct explanation of A