A legal issue in accounting is that third parties rely on the work of the auditor but do not have a contractual relationship with the auditor. A series of legal cases have established precedent of when third parties may sue an auditor for damages. Below are four terms, in alphabetical order, that describe the distance the third party has from the auditor, in terms of whether the third party can sue. Foreseeable Third Party Forseen Third Party Near Privity Privity In the multiple choice options, pick the option that describes the relationships. in order from the closest to the least close, of which third parties can sue the auditor. Near Privity. Privity. Foreseeable Third Party, Forseen Third Party Forseen Third Party, Privity Near Privity, Forseeable Third Party Privity, Near Privity, Forseeable Third Party, Forseen Third Party Privity, Near Privity, Forseen Third Party, Foreseeable Third Party