INTRODUCTION

A victim slips on a banana peel and falls down

a flight stairs. Doctor a stranger who
happened to be passing by, administers
emergency treatment to the unconscious
victim.
Now when the victim wakes up, doctor asks
for his fees. Can he do that?
QUASI CONTRACTS
Quasi means almost or apparently but not really or as if it
were
A Quasi contract is a contract that exists by order or court, not
by agreement of the parties
Court creates quasi contracts to avoid the unjust enrichment
of a party in a dispute for payment of a good/service
Section 68 to 72 deals with certain relations resembling those
created by a contract under Indian Contract Act, 1972
SECTIONS IN LAW
SECTION 68: SUPPLY OF NECESSARIES
If a person, incapable of entering into a contract or anyone whom
he is legally bound to support, is supplied by the another person
with necessaries suited to his condition in life, the person who has
furnished such supplies is entitled to be reimbursed from the
property of such incapable person
ILLUSTRATIONS
A supplies B, a lunatic, with necessaries suitable to his
condition in life. A is entitled to be reimbursed from B's
property
A minor studying at Harvard is supplied with clothing
along with a laptop. He already had enough cloths with
him. It was held that the laptop was not a necessary
article and so he was not liable to pay for them.
SECTIONS IN LAW
SECTION 69: PAYMENT BY INTERESTED
PERSON
A Landlord lends his premises to a tenant for 2 years. The tenant
unaware of the fact that the electricity bill is due for payment for
last 2 months for the said premises, takes the same on rent. After
sometime he receives regarding the due bills to be paid within 2
days or else electricity will be discontinued. The tenant without
asking the lender pays the bill. When the tenant asks the landlord
for reimbursement for the amount, he refuses to do so. Landlord
contends that he had no intentions to pay the bills and the tenant
had no duty towards the payment of bill. Is the tenant liable to be
reimbursed the amount?
CASE
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 the other
Payer must be interested in
making payment
But should not be bound to pay
Defendant should be under a
legal compulsion to pay
SECTIONS IN LAW
SECTION 70: LIABILITY TO PAY FOR NON
GRATUITOUS ACTS
A village was irrigated by a tank. The government effected certain repairs to the
tank for its preservation and had no intention to do so gratuitously for the
Zamindars. The Zamindars enjoyed the benefits thereof. Are they Liable to pay
to the government?
CASE damodar murali & Secretary of state for India 1894
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 compensation
to the former in respect of, or
to restore, the things so done
or delivered
The thing must have been done
lawfully.
The person doing the act should
not have intended to do it
gratuitously.
The person for whom the act is
done must have enjoyed the
benefit of the act
SECTIONS IN LAW
SECTION 71: FINDER OF GOODS
DOO(H) picks up a diamond on the floor on LORD's(F) shop. He hands it over to
LORD to keep it till true owner is found out. No one appears to claim it for quite
some weeks in spite of the wide advertisement in the newspapers by LORD.
DOO tendered to LORD the lawful expenses incurred in finding the true owner
and requested him to return the diamond to him. LORD refused to do so. Is LORD
bound to return the diamond?
CASE HOLLINS and fowlers
A person, who finds goods to
another and takes them into his
custody, is subject to the same
responsibilities as a Bailee. Thus
in respect of duties and
liabilities, a finder is treated at
par with Bailee. The finders
position is therefore considered
along with bailment.
He must try to find out the owner
and must not appropriate the
property for own use(sec 403
IPC)
He must take care of the goods
as much as a man of ordinary
prudence will for his own good.
He can sell the goods if the item
is perishable, owner is not found
or refuses to pay the lawful
amount.
SECTIONS IN LAW
SECTION 72: MISTAKE or COERCION
An insurance company paid the amount on a policy under the mistake that the
goods had been destroyed by a peril (threat) insured against. The goods in fact
had been sold. Can the insurance company recover the amount?
CASE Norwich etc. society ltd. vs. price W.H. LTD 1934
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
The Payment by Mistake in
section 72 must refer to a payment
which was not legally due and
which could not have been
enforced: the Mistake is on
thinking that the money paid was
due when in fact, it was not due
Questions
around the
discussion
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