Quasi-Contracts
Introduction
Quasi-contracts are based on the idea of no man
must grow rich out of another persons costs
These are based on the equitable principle that a a person shall not be allowed to enrich himself at the expense of another
Meaning
Although there is no contract or agreement
between the parties, they are put in the same
position as if there were a contract between
them
Meaning
Certain obligations are imposed by law
These obligations are similar to those which
are created by contract
Kinds of Quasi Contracts
1.
Necessaries supplied to Person incapable of
Contracting
According to Sec. 68, if a person is supplied by another person with necessaries, for him (or any one whom he is bound to support) he is liable to pay to the supplier out of
his property
Kinds of Quasi Contracts
2.
Payment by an Interested Person
According to Sec. 69, a person who is interested
in the payment of money in which another is
bound by law to pay and who therefore pays it, is entitled to be reimbursed by the other
Kinds of Quasi Contracts
Essentials of Section 69
The payments made should be bonafide for the
protection of ones interest
The payment should not be a voluntary one The payment should be such that the other party was bound by law to pay
Kinds of Quasi Contracts
3.
Liability for Non-gratuitous Act
According to Sec. 70, if a person lawfully does anything for another person or delivers anything to him (non-gratuitous) and other person enjoys the benefits, he is bound to make compensation
to the person or restore the things
Kinds of Quasi Contracts
Essentials of section 70
The thing must have been done lawfully It must have been done by person not intending to act gratuitously
The person for whom the act is done must have enjoyed the benefit of the act
Kinds of Quasi Contracts
4.
Responsibility of Finder of lost goods
According to Sec. 71, a person who finds goods belonging to another an takes them into his custody, he is bound to take as much care of the goods as his own goods of same bulk quality and
value
Kinds of Quasi Contracts
It is also the duty of the finder of lost goods to trace the true owner
Till the true owner is found out, the property in the goods will vest in the finder and he can retain it as his own against the whole world, except the
true owner
Kinds of Quasi Contracts
The finder can sell the goods in the following conditions, where the,
thing found is in danger of perishing or losing the greater part of its
value
owner cannot, with reasonable diligence, be found out
owner is found out, but refuses to pay lawful charges of the finder
Lawful charges of the finder, in respect of the thing found, amount to two-third of the value of the thing found
Kinds of Quasi Contracts
5.
Action for money paid, or thing delivered, by mistake or under coercion
According to Sec. 72, a person to whom money has been paid or anything delivered by mistake or under coercion, must repay or return it
Kinds of Quasi Contracts
6.
Quantum Meruit
One person has rendered service to another in
circumstances which indicate an understanding
between them that it is to be paid for although no
particular remuneration has been fixed
Kinds of Quasi Contracts
The object of allowing a claim on quantum
meruit is to recompensate the party or person
for value of work which he has done
Kinds of Quasi Contracts
The claim for quantum meruit arises in the
following cases
When an agreement is discovered to be void
When something is done without any intention to
do so gratuitously
Kinds of Quasi Contracts
The claim for quantum meruit arises in the
following cases
When there is an express or implied contract to render
services but there is no agreement as to remuneration
When one party abandons or prevents or even refuses to perform the contract
Kinds of Quasi Contracts
The claim for quantum meruit arises in the
following cases
When a contract is divisible and the party not in default
has enjoyed the benefits of the part performance
When and indivisible contract for a lump sum is completely performed
Quasi and General Contracts
Outcome of the quasi-contract resembles the
general contract
The difference between the quasi contract and
general contract is the obligations under quasi
contract are imposed by law
Effects of Quasi Contract
According to section 73, when an obligation created
by quasi contract has not been discharged, the injured party is entitled to receive the same compensation from the party in default, as if the sued person had contracted to discharge it and had broken his contract
