Jus Quaesitum Tertio Law and Legal Definition

Generally, a contract cannot confer rights on a third party. However, rights can be conferred on third parties by means of a trust. Jus quaesitum tertio means rights on account of third parties. Contracts may be formed for the benefit of third parties. In order to confer a jus quaesitum tertio on a third party it must appear from the terms of the instrument that the object of the maker was to benefit the third party’s interests. It must be clear from the wording of the contract that both contracting parties intended to confer a benefit on the third party. Third party must be intimated of the benefit contract. Third party is entitled to enforce performance of the contract according to its terms. Moreover, the third party can recover damages for non- performance. To be enforceable, the contract conferring third party benefit must be irrevocable.