A Quasi-Contract Is a Contract That

By on March 26, 2023

A quasi-contract is a legal term that denotes a contract that is not explicitly created through an offer, acceptance, and consideration, which are the three primary elements of a traditional contract. Rather, a quasi-contract is created by law to avoid an unjust enrichment or to prevent an injustice. This type of contract is also known as a constructive contract, an implied-in-law contract, or a fictional contract.

A quasi-contract arises when one party receives a benefit at the expense of another party, and it would be unfair or unjust for the benefiting party to retain the benefit without compensating the other party. In such cases, the court may create a quasi-contract to remedy the situation. The benefit conferred can be either goods or services, and it may be rendered with or without the benefactor`s knowledge or consent.

Examples of quasi-contracts include:

1. Money paid under mistake – When an individual mistakenly pays money to another individual, who knows that the payment was made under a mistake, the court can create a quasi-contract to recover the money from the recipient.

2. Emergency repairs – When someone who owns a property is away and the property suffers damage that requires emergency repairs to prevent further damage, the contractor who carries out the repairs can claim payment for the repairs from the owner. This is because the contractor has conferred a benefit on the owner by preventing further harm to their property.

3. Sale of goods to a minor – When a minor buys goods from a seller, the seller cannot enforce a traditional contract because minors are not legally competent to enter into a contract. However, if the minor uses and benefits from the goods, the seller can claim reimbursement based on a quasi-contract.

In conclusion, a quasi-contract is a legal concept used to remedy situations where one party benefits from another party`s actions without the other party`s consent or knowledge. It is a fictional contract created by the court to prevent unjust enrichment or injustice. As a professional, it is important to understand the concept of quasi-contracts and to be able to communicate it effectively to your audience.