True

Explanation:

Stranger to a Contact

In contract law, a stranger to a contract refers to an individual who is not a party to the contract. Generally, a stranger to a contract does not have the legal standing to sue the parties involved in the contract. This is based on the principle of privity of contract, which states that only parties to a contract can enforce its terms or be held liable for any breaches.

Consideration

Consideration is a fundamental element of a contract. It refers to the exchange of something of value between the parties involved in the contract. In order for a contract to be legally enforceable, there must be mutual consideration, where each party gives something of value or refrains from doing something they have the legal right to do.

Stranger to Consideration

A stranger to consideration refers to an individual who has not provided any consideration in the contract. In other words, they have not given or promised anything of value to one of the contracting parties. As a general rule, a stranger to consideration cannot sue to enforce a contract.

Exceptions

While the general rule is that a stranger to a contract or consideration cannot sue, there are some exceptions to this rule. These exceptions include:

1. Beneficiary of a contract: If a contract is made expressly for the benefit of a third party, that third party may have the right to sue to enforce the contract. This is known as a third-party beneficiary.

2. Assignment of rights: If a party to a contract assigns their rights to a third party, that third party may have the right to sue to enforce the contract. This typically occurs when there is a valid assignment of contractual rights.

Conclusion

In conclusion, it is true that a stranger to a contract generally cannot sue the parties involved in the contract. However, there are exceptions to this rule, such as when the individual is a beneficiary of the contract or has been assigned the rights under the contract. It is important to consult with a legal professional to fully understand the specific circumstances and applicable laws in any given situation.