Also known as: implied-in-law · quasi-contract · constructive obligation
Written by attorneys · grounded in primary & secondary sources — see below
An obligation imposed by operation of law without regard to the actual intent or agreement of the parties. The obligation arises to prevent injustice or to supply a reasonable term when the parties have omitted an essential element from their arrangement.
Imani Idowu and Isaac Irving became engaged after a long courtship. Isaac ended the engagement two weeks before the wedding. Imani had already paid for a nonrefundable venue and printed invitations. A court allowed Imani to recover those expenditures even though no valid contract to marry existed.
Ibrahim Iqbal worked at Ironwood Capital for five years. His supervisor fired him after Iqbal reported suspected securities violations to regulators. A court imposed liability on the employer for the discharge even though the employment contract contained no promise of continued employment.
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Ian Iverson and Israel Irving lived together for eight years. Israel managed the household while Ian built a successful business. After separation a court required Ian to pay Israel a share of the increased value of the business even though the couple never formed an express agreement.
Indigo Textiles owned coastal property that the city repeatedly denied development permits for. The denials eliminated all economically viable use of the land. A court ordered the city to pay just compensation even though no formal taking had occurred under eminent domain statutes.
Imran Iyer and Imani Idowu cohabited for ten years. Imran contributed labor and funds that increased the value of the home titled solely in Imani's name. After separation a court required Imani to pay Imran the amount by which her equity had grown even though no contract addressed ownership division.
Isaac Irving supported his spouse through graduate school by working full time. The spouse obtained an advanced degree that substantially increased earning capacity. A court treated the enhanced earning power as a marital asset subject to equitable division even though the degree itself was not property acquired during marriage.
A term implied in fact reflects the parties' actual though unstated intent inferred from their conduct and circumstances. A term implied in law is supplied by the court regardless of intent to achieve justice or fill an essential gap.
Supporting sources
A court supplies such a condition when the parties have omitted an essential term and the supplied term is reasonable under the circumstances. The condition is imposed to determine rights and duties rather than to reflect any agreement the parties reached.
Supporting sources
No. Recovery rests on the principle that one who receives a benefit must make restitution when retention would be unjust. The obligation is created by law to prevent injustice even though the parties never formed a contract or intended any promise.
Yes. Federal law expressly subjects actions founded upon any contract express or implied in law or fact to a six-year limitations period running from accrual of the right of action.
Supporting sources
…v. Keene (1962) 57 Cal.2d 657 [21 Cal. Rptr. 593, 371 P.2d 329], the claimant forwent reliance upon theories of contract implied in law or fact. Asserting that she had worked on her partner's ranch and that her labor had enhanced its value, she confined her cause of action to the claim that the court should impress a…