Differentiate between contracts and quasi contracts

Let us learn about the contracts and quasi contracts before understanding the differences between them.

Contracts

It is an agreement between more than one party. Contracts are made with lawful considerations and objects between parties.

The essential elements in the contracts are as follows −

• Legitimate offer followed by acceptance.
• Agreement should not be void or illegal.
• Minimum two parties are required and above 18 years of age.
• They should create legal relationships.
• Should have lawful considerations.
• Objective of the contract should be lawful etc.

Quasi contracts

Quasi contracts are pseudo contracts which means technically speaking, there is no contract but resembles one.

The elements of quasi contract are as follows −

• Though these are not actual contracts but still enforced by law
• Damages are entitled to receive compensation
• Legal fiction

The features of quasi contract are as follows −

• No direct agreement between parties (no offer and acceptance).
• Based on justice and morality.

Differences

The major differences between contract and quasi contract are as follows −

Sr.No	Contract	Quasi contract
1	Two or more parties will come together for common intention and generate an agreement.	Not a real contract.
2	It is always an agreement between the parties.	No agreement between parties.
3	Parties will give their consent.	Parties’ consent is not required.
4	Liability exists between parties by terms.	Liability is independent of agreement.
5	It is created by the operation of a contract.	It is not created by the operation of a contract.
6	It includes right in rem and right in personal.	It includes only right in personal.
7	It is defined in section 2 (h) in Indian Contract Act, 1872.	Legal Scholar John Salmond defines quasi contracts as “certain obligations which are not in truth contractual in the sense of resting on agreement, but which law treats as if they were”.
8	It has free consent.	It is imposed by law.
9	Parties must be competent	A person who is entitled will receive the incurred expenses.
10	Lawful considerations and lawful objects.	It is raised by legal fiction.