QUASI
CONTRACT
Presented By :
Divyansh Singh Baghel
Priya Kumari Verma
Upasana Patel
Uttam Kumar Dhuri
List of Contents
Introduction
Evolution of Quasi Contract
Quasi Contract under Indian Contract Act,1872
The Principle of Unjust Enrichment
Elements of Quasi Contract
Role of Quasi Contract and The Court
Salient Features of Quasi Contract
Kinds of Quasi Contract
Difference Between Contract and Quasi Contract
Conclusion
Introduction
There are certain obligations, specified in the Indian Contract Act, that
are not actually contracts because they miss one or the other elements of
a contract, but are still enforceable in a court of law. Such obligations
are called Quasi-contractual obligations.
Evolution of Quasi Contract
The history of quasi-contract can be dated back to the Middle Ages, where
there was a practice known as indebitatus assumpsit.
Under this, the law imposed that the defendant would give a sum of money to the
complainant, in an amount directed by the courts of justice, as if the accused always
agreed to pay the complainant for the goods or the services.
Quasi-contracts created by the court help to prevent “unjust enrichment” of one
party at the cost of the other party.
Quasi Contract Under
Indian Contract Act,1872
The concept of Quasi-contracts is inspired by the theory of
Unjust Enrichment.
Quasi-contracts are certain relations “resembling those
created by contract.” It is covered in Chapter V (Section 68-
72) of the Indian Contract Act, 1872.
The Quasi contract is defined as: “A voluntary act from
which derives obligations subject to a regime close to the
contractual one imposing on the author of the act and a third
party, not bounding by the contract”
• Infographic Style
The Principle of Quasi-contracts are based on the principle of “Nemo
debet locupletari ex aliena jactura”, which means
Unjust Enrichment ‘No man should grow rich out of another person’s
losses’.
Proving unjust enrichment will require :
1. Enrichment must be received by the defendant.
2. 2. A disadvantage must have been suffered by the
claimant.
3. 3. Said enrichment must be proven to be unjust.
4. 4. An explanation must be lacking for the
enrichment and disadvantage.
5. 5. A remedy, provided by law to the claimant,
must be lacking.
The plaintiff must show evidence of the
01 goods or services they should have been
compensated for.
Elements of
Quasi Contract The defendant must have accepted those
02 goods or services and receive some type
of benefit from them.
Finally, the defendant must have accepted
03 said goods or services under unfair
circumstances where the plaintiff didn't
receive any compensation.
Role of Quasi Contract and the Court
A court will create a quasi-contract when an official agreement is lacking
between certain parties.
This makes a quasi-contract a substitute for a contract, designed to
promote fair treatment, or equity, between the parties involved. It's safe to
say that quasi contracts are formed where legal agreements were not
established but should have been.
Salient Features of Quasi Contract
An obligation enforced by law
upon the party for the benefit of
another party 01
Outcome of such obligations is
similar to those resulted out of
02 a regular contract.
Such contracts do not arise
from an agreement, rather they
are imposed by law.
The foundation of a quasi-
03
contract is the duty of a party
The party may file a suit for and not the promise of the
breach using the same process party.
as in the case of an ordinary 04
contract. 05
Kinds of Quasi Contract
Obligation to pay
Supply of Payment by an for Non Responsibilities of Mistake or
Necessities Interested Person Gratuitous Act Finder of Goods Coercion
( sec.68 ) ( sec.69 ) ( sec.70 ) ( sec.71 ) ( sec.72 )
Difference Between
Contract Quasi Contract
• Two or more parties will come together for • Not a real contract.
common intention and generate an agreement.
• It is always an agreement between the parties. • No agreement between parties.
• Parties will give their consent. • Parties’ consent is not required.
• Liability exists between parties by terms. • Liability is independent of agreement.
• It is created by the operation of a contract. • It is not created by the operation of a contract.
• Parties must be competent. • A person who is entitled will receive the incurred
expenses.
• Lawful considerations and lawful objects.
• It is raised by legal fiction.
Conclusion
The conclusion of quasi contract is that the principle
of quasi-contract is often ignored but still, it holds a
very important place, since the principle is grounded
on the principles of justice and equity. Despite the fact
that quasi contract is moulded in the Indian Contract
Act under a new name. However, the basic nature and
essence of the principle remains same without any
drastic change. When dealing with quasi contract, you
may hear the term quantum merit.
References
Quasi Contract Definition
(investopedia.com)
Quasi-contract - Wikipedia
Quasi Contract - Definition, Latest News,
and Why Quasi Contract is Important?
(cleartax.in)
Quasi-Contract (Meaning, Examples) |
Top 5 Types (wallstreetmojo.com)
Quasi Contract (civilserviceindia.com)
THANK
YOU
