Also known as:quasi contractual liability · quasi-contract liability · quasi-contract · quasi contract
Written by attorneys · grounded in primary & secondary sources — see below
A legal obligation imposed by law without regard to the parties' assent when one person has conferred a measurable benefit on another and retention of that benefit would be unjust. The obligation arises to restore the status quo by requiring payment of the reasonable value of the benefit received. Recovery is measured by the value of the enrichment rather than by any promise or expectation damages.
Sources & Authorities
How it applies
Common Examples
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Broken Engagement and Preparation Costs
Queenie Quinones and Quincy Quan became engaged and signed a detailed agreement outlining their wedding plans. Queenie quit her job and incurred substantial moving and relocation expenses in reliance on the upcoming marriage. When Quincy called off the wedding, Queenie sued for the actual expenditures she had made in preparation. The court permitted recovery of those documented costs under quasi-contractual liability to prevent unjust enrichment from the broken engagement.
Insurance Settlement and Third-Party Benefit
Quotient Analytics performed extensive data-recovery work on a damaged server system owned by Quartz Energy after an insured loss. The insurer, Traders General, later denied coverage and refused to pay for the work. Quartz Energy retained the restored data and avoided the cost of replacement services. The court allowed Quotient Analytics to recover the reasonable value of its services from the insurer under quasi-contractual liability because the insurer had been unjustly enriched by the completed restoration.
Select any source to read its text and confirm it supports the definition.
Common Law
Casebooks
Comunale v. Traders & General Ins. Co.50 Cal. 2d 658
Cohabitation and Accumulated Assets
Quiana Quach and Quinlan Quezada lived together for several years while jointly operating a small consulting business. Quiana contributed unpaid labor managing the firm's finances and client relations while Quinlan handled technical work. After the relationship ended, Quinlan retained all business assets and profits. The court permitted Quiana to recover the reasonable value of her services under quasi-contractual liability to prevent unjust enrichment from the retained benefits.
Watts v. Watts137 Wis. 2d 506, 405 N.W.2d 303 (1987)
Common questions
Frequently Asked
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When does quasi-contractual liability allow recovery even though no enforceable contract exists?+
Recovery is available when one party has conferred a measurable benefit on another through part performance or reliance and retention of the benefit would be unjust. The obligation is imposed by law to prevent unjust enrichment rather than to enforce any promise. Courts measure recovery by the reasonable value of the benefit retained.
Supporting sources
Does quasi-contractual liability permit recovery of expected financial gains from a failed engagement?+
No. Recovery is limited to actual damages such as expenditures made in preparation for marriage. Loss of expected benefits such as social or financial position is not recoverable. The action combines tort and contract elements but excludes speculative future advantages.
Supporting sources
Can a minor avoid future rent obligations while remaining liable in quasi contract for benefits already received?+
Yes. A minor's lease is voidable, allowing disaffirmance of future rent. Any obligation for housing already provided is typically limited to the reasonable value of the benefit received under quasi-contract principles rather than full contractual liability.
Supporting sources
137 Wis. 2d 506, 405 N.W.2d 303 (1987)Property
…or implied in fact agreement exists between the parties, recovery based upon unjust enrichment is sometimes referred to as "quasi contract,” or contract "implied in law” rather than "implied in fact.” Quasi contracts are obligations created by law to prevent injustice. Shellse v. City of Mayville , 223 Wis. 624, 632, 271…
ContractsFormation of contracts · Indefiniteness and absence of termsUBEIntermediate