The rights of a third party beneficiary under a contract do not vest if the third party materially changes his or her position in justifiable reliance on the promise.

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This is known as the doctrine of promissory estoppel, which prevents the promisor from revoking the promise if the promisee has relied on it to their detriment. The third party beneficiary will also be protected by this doctrine if they have materially changed their position in reliance on the promise. Therefore, the rights of a third party beneficiary will vest if they have relied on the promise to their detriment.

The Rights of a Third Party Beneficiary Under a Contract