A Contract Manager, on the job in contract management, has the ability to understand from the Contract documentation, to whom he is liable, who are possibly the other relevant party(s) involved or has stakes in the contract. Depending on the jurisdiction, it may be possible for third parties to be given beneficial and enforceable rights within a contract. Therefore it is important to be aware when entering into a contract whether third party rights have been incorporated, as this may broaden the Contracts Manager’s normal scope of liability. A Contracts Manager also needs to understand that his liability may not be solely limited to his contractual arrangements because there is always the potential for liability to be incurred through the law of tort, and especially the tort of negligence. Due to this reason, the contract management function should not be considered ‘a risk free’ job.

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