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English definition of “third party”

third party

noun [C, usually singular]    
LAW a third person or organization less directly involved in an activity or in a legal case than the main people or organizations that are involved : 30% of the units that we sell are actually sold by third parties . Shareholders may authorize a third party , such as a bank or employer , to make investments directly to their Fund accounts . In road accident cases , the plaintiff can bring a third party in as a second defendant .
INSURANCE in an insurance contract , a person who is not the insurance company or the insured person , but who will receive money if they suffer loss or damage caused by the insured person : The policyholder is covered if they cause injury or damage to a third party .
(Definition of third party noun from the Cambridge Business English Dictionary © Cambridge University Press)
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