A more thorough explanation:

Definition: Vertical nonprivity is the lack of privity occurring when the plaintiff is a buyer within the distributive chain who did not buy directly from the defendant.

Example: Someone who buys a drill from a local hardware store and later sues the drill's manufacturer is in vertical nonprivity with the manufacturer.

This means that the buyer did not have a direct contract with the manufacturer, but rather bought the product from a third party. Therefore, the buyer cannot sue the manufacturer for any defects or issues with the product.