Scruttons Ltd v Midland Silicones Ltd [1961] UKHL 4, [1962] AC 446[1] is a leading House of Lords case on privity of contract.

It was a test case in which it was sought to establish a basis upon which stevedores could claim the protection of exceptions and limitations contained in a bill of lading contract to which they were not party.

[2] The Court outlined an exception to the privity rule, known as the Lord Reid test, through agency as it applies to sub-contractors and employees seeking protection in their employers' contract.

And then to affect the consignee it would be necessary to show that the provisions of the Bills of Lading Act 1855 apply.All of Lord Reid's preconditions were satisfied in the subsequent case of New Zealand Shipping v Satterthwaite (The Eurymedon) [1975] AC 154.

This case, among others, resulted in the change of practice in shipping contracts by adding Himalaya clauses to protect third parties.