Quasi Contract - Meaning, Features & It Types


Under certain special circumstances, a person may receive a benefit to which the law regards another person as better entitled or for which the law considers he should pay it to the other person, even though there is no contract between the parties these relationships are terms as “Quasi Contract” or constructive contracts under the English Law and “Certain relationships resembling those created by contracts” under the Indian Law. Quasi-contract is not made by a process of proposal and acceptance or by free consent. It is trust upon us by law. A Quasi-contract rests upon the equitable, which declares that a person shall not be allowed to enrich himself unjustly at the expense of another.


i. It is a right which is available not against a particular person or persons and so, that in this respect it resembles a contractual right.

ii. It does not arise from any agreement of the parties concerned it is imposed by law.

iii. Such Quasi-contractual right is always a right to the money, and generally, though not always, to a liquidated sum of money.


The following are of Quasi-contracts are discussed below.

1. Supply of necessaries (sec68): according to section 68, if a person incapable of entering into a contract or anyone whom he is legally bound to support is supplied by another with necessaries suited to his condition in life the person who has furnished such supplies I entitled to be reimbursed from the property of such incapable person.

2. Payment by an interested person (Section.69) A person, who is interested in the payment of money which another is bound by law to pay and who therefore pays it, is entitled to be reimbursed by another. The essential requirements of Section.69 are as follows:

a) The payment mode should be bonafide for the protection of one’s interest.

b) The payment should not be a voluntary one.

c) The payment must be such as the other party was bound by law to pay.

3. Obligation to pay for non-gratuitous acts (Section.70): When a person lawfully does anything for another person or delivers anything to him not intending to do so, gratuitously, and such other person enjoys the benefit thereof, the latter is bound to make the compensation to the former in respect of or restore, the things do or delivered.

4. Responsibility of finder of goods (Section.71): A person who finds goods belonging to another and takes them into his custody is subject to the same responsibility as Bailee. He is bound to take as much care o the goods as a man of ordinary prudence would under similar circumstances take of his own goods of the same bulk, quality and value. He must also take all necessary measures to trace its owner. If he does not, he will be guilty of wrongful conservation of the property till the owner is found out, the property in goods will vest in the finder and he can retain the goods as his own against the whole world (except the owner).

5. Mistake or coercion (Section.72): A person to whom money has been paid, or anything delivered by mistake or under coercion, must repay or return it to the person who paid it by mistake or under coercion.

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