In the legal world, contracts are often used to formalize an agreement between two parties. However, not all agreements are formalized in writing or even verbally agreed upon. This is where quasi contracts and implied contracts come into play.
Quasi Contract:
A quasi contract, also known as an implied in law contract, is a legal term used to describe a situation in which one party may be obligated to compensate another party even though no formal contract exists. This type of contract is not based on the agreement between the parties, but rather on fairness and justice.
For example, suppose you ask your neighbor to water your plants while you’re on vacation. If your neighbor does not agree to do so, but they water your plants anyway, they may be entitled to reimbursement for their services. This is because they provided a service that you benefited from, and it would not be fair for them to not be compensated.
Implied Contract:
An implied contract, also known as a quasi contract, is an agreement that is not expressly stated in words, but rather is inferred from the actions and circumstances of the parties involved. This type of contract may arise where the parties have established a pattern of conduct over time, and a contract is presumed to exist through their actions.
For example, imagine a homeowner hires a contractor to build a deck in their backyard. As the construction progresses, the contractor installs new features without explicitly discussing them with the homeowner. If the homeowner pays for these additional features, it may be inferred that they agreed to the additional work and the contractor is entitled to compensation.
Key Differences:
The main difference between a quasi contract and an implied contract is that a quasi contract is based on fairness and justice while an implied contract is based on the actions and circumstances of the parties involved. Quasi contracts are not true contracts and do not require agreement between the parties, while implied contracts arise from the actions of the parties.
Conclusion:
In summary, while both quasi contracts and implied contracts may arise in situations where there is no formal agreement between parties, they have distinct differences. Understanding these differences is essential in determining whether a contract can be enforced and what remedies may be available. As always, it is best to consult with a legal professional to determine your rights and obligations.