Implied Contract

Implied Contract in the United States

Implied Contract Definition

An implied contract is one that is inferred from the actions of the parties. Although no discussion of terms took place, an implied contract exists if it is clear from the conduct of both parties that they intended there be one. A delicatessen patron who asks for a “turkey sandwich to go” has made a contract and is obligated to pay when the sandwich is made. By ordering the food, the patron is implicitly agreeing to the price, whether posted or not.

A contract Implied in Law is the quasi-contract. Both express and implied contracts embody an actual agreement of the parties. A quasi-contract, by contrast, is an obligation said to be ‘‘imposed by law” in order to avoid unjust enrichment of one person at the expense of another. (1)

Therefore, and contrary to the express contract, an Implied Contract is a contract not expressed by inferred from the parties’ actions. See “Contract.”

Meaning of Implied Contract

In plain or simple terms, Implied Contract means: A contract in which the promise made by the obligor is not expressed, but inferred by one’s conduct or implied in law.

Resources

Notes

  1. “Business and the Legal Environment”, by Don Mayer, Daniel M. Warner and George J. Siedel.

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