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What is PRIVITY? The term âprivityâ means mutual or successive relationship to the same rights of property. The executor is in privity with the testator, the heir with the ancestor, the assignee with the assignor, the donee with the donor, and the lessee with the lessor. Union Nat. Bank v. International Bank, 123 111.
English doctrine of privity of contract. The common law doctrine of privity of contract dictates that only persons who are parties to a contract are entitled to take action to enforce it.It means that only those who are parties to the contract or privy to the contract can sue or be sued on it.nglish doctrine of privity of contract. The common law doctrine of privity of contract dictates that only persons who are parties to a contract are entitled to take action to enforce it.