What is "quantum meruit" in contract law?

Quantum meruit refers to a legal principle that allows a party to recover the value of services rendered when there is no formal contract in place. This principle is grounded in the idea of fairness and equity, asserting that if one party has benefited from the services provided by another, they should compensate the provider for those services, even in the absence of a written or spoken agreement.

In practice, quantum meruit is often invoked in situations where work has been performed but no contract was established, whether intentionally or by circumstance. For example, if a person provides labor or services with the expectation of being paid, but no agreement is formalized, they can still seek compensation based on the reasonable value of the work performed.

This principle underscores the importance of equitable treatment in contractual relationships, ensuring that parties cannot unjustly enrich themselves at the expense of others. The other options referenced specific concepts that do not align with the foundational idea of quantum meruit, which primarily focuses on service recovery without the prerequisite of an explicit contract.