Page:Contracts (Rights of Third Parties) Ordinance (Cap. 623).pdf/7

Contracts (Rights of Third Parties) Ordinance Ord. No. 17 of 2014 Section 8 (4) The order may be made subject to any condition that the court thinks fit, including a condition requiring that the third party be compensated.

8. Proceedings brought by third party

(1) Subsections (2), (3) and (4) apply if a third party brings proceedings to enforce a term of a contract under section 4.

(2) The promisor may raise one or more of the following matters by way of defence or set-off—
 * (a) a matter that—
 * (i) arises from or in connection with the contract and is relevant to the term; and
 * (ii) would have been available to the promisor by way of defence or set-off if the proceedings had been brought by the promisee;
 * (b) a matter in respect of which the following conditions are met—
 * (i) an express term of the contract provides for the matter to be available to the promisor by way of defence or set-off in proceedings brought by the third party; and
 * (ii) the matter would have been available to the promisor by way of defence or set-off if the proceedings had been brought by the promisee;
 * (c) a matter that would have been available to the promisor by way of defence or set-off if the third party had been a party to the contract.

(3) The promisor may raise, by way of counterclaim, a matter not arising from the contract that would have been available to the promisor by way of counterclaim against the third party if the third party had been a party to the contract.