Laws You Should Know About Implied Contracts

Laws You Should Know About Implied Contracts

An unwritten agreement can still be a contract. Implied contracts are in the interest of fairness and are non-written contracts between two people.

It can be common between a job candidate or employee and an employer regarding their professional relationship.

An example of this is the employee and employer understanding their roles and relationships in the company. If one party fails at their agreement, there may be legal action that could be taken.

Although it is always a good idea to put any contracts in writing, there are still laws about implied contracts that are important to know.

Types of Implied Contracts

There are two types of implied contracts, implied in-fact and implied at-law.

Implied in-fact contracts are based on facts that create the obligation or contract between two parties. Parties must agree that the in-fact contract exists between them.

Implied in-law contracts are created when payment is requested by one party for items or services that are provided. This can often be the case in accidents or unintentional occurrences.


These contracts can be enforced by law. An oral contract still holds as much weight as a written contract could have.

Although one party may dispute a contract for not being in writing, it is still legally binding.

To be enforced your claim should establish the contract existed mutually, someone broke that contract and/or you suffered a financial loss from the contract.

Can Implied Contracts Be Avoided?

When contracts are written, if it is broken it is much easier to take legal action.

Implied contracts can be present and binding in many situations. The best way to avoid them is to have both parties agree and sign a written contract.

Finding yourself in a situation with a broken contract can be stressful, which is why it is important to have a professional help you through the legalities.

Polaris Law Group understands the many complex laws and regulations involving implied contracts.

If you have questions about implied contracts, we can answer them and help you navigate the legalities and understand the process. Contact our offices today to learn more or schedule your consultation with our team.