Quantum Meruit: Understanding the Legal Doctrine of Fair Compensation in Contracts

Sat 3 Jun, 2023
by ghermanlaw
fee recovery and contract disputes

“Quantum meruit,” meaning “as much as is deserved,” is a fairness principle and a legal doctrine that allows recovery of the reasonable value of goods or services provided to another person—even if no written or oral contract exists.

The principle is rooted in equity: no one should unjustly benefit from another person’s work without paying for it.


Elements

To recover damages under quantum meruit, the provider of goods or services must prove:

  1. They provided the goods or services.
  2. The other party received the goods or services.
  3. The other party had a reasonable expectation of paying for the goods or services.
  4. The value of the goods or services provided.

If you delivered work without a contract and have not been compensated, you may be able to recover under this legal doctrine.


Tips for Recovering Damages Under Quantum Meruit

  • Keep detailed records of the goods or services provided.
  • Obtain written acknowledgment from the other party confirming receipt.
  • Document that the other party had a reasonable expectation of payment.
  • If possible, negotiate a payment plan in writing.

Example Case: In Miller v. Nelms, 966 So. 2d 437 (Fla. 2d DCA 2007), the plaintiff successfully pursued a claim under oral contract and quantum meruit after converting a bus into a mobile video entertainment vehicle without full payment.


Quantum Meruit and Unenforceable Contracts

Sometimes, a contract may be unenforceable—for example, if it was not in writing, involved illegal purposes, or one party lacked capacity.

Even so, if part of the contract was performed, the performing party may recover the reasonable value of their performance under quantum meruit.

To succeed, the party must prove:

  • The contract was unenforceable.
  • They performed their obligations in good faith.
  • The other party benefited from their work.
  • The value of the performance.

Example: If you completed half of a renovation project before discovering the contract was unenforceable, you can still recover compensation for the work performed.


What if the Opposing Party Prevents Performance?

If one party blocks the other from completing their work, the performing party may sue under quantum meruit for the value of the services already rendered.

Examples:

  • A subcontractor may sue a contractor who fails to make progress payments.
  • A contractor’s failure to finish thermoplastic striping under an off-site contract did not prevent an unjust enrichment claim under Florida law because the work was substantially completed.

The law does not require futile performance. If the opposing party repudiates or refuses to accept performance, you may stop work and still claim payment for completed tasks.


Why You Need an Experienced Contract Lawyer

Contracts are legally binding, but disputes often arise when contracts are unenforceable or only partially performed. An experienced contract attorney can:

  • Explain the legal implications of your agreement.
  • Negotiate favorable terms.
  • Draft enforceable contracts.
  • Review contracts before you sign.
  • Represent you in disputes involving quantum meruit or breach of contract.

Hiring a contract lawyer is an investment in protection that saves time, money, and potential legal headaches.


FAQs About Quantum Meruit

1. What does quantum meruit mean in law?

Quantum meruit means “as much as is deserved.” It allows recovery of payment for goods or services provided without a valid contract.

2. Can I recover damages without a written contract?

Yes. If you can prove you provided services, the other party received them, and payment was reasonably expected, you may recover under quantum meruit.

3. How does quantum meruit apply to unenforceable contracts?

Even if a contract is unenforceable, you may recover for the value of the work you performed in good faith.

4. What if the other party prevents me from finishing the contract?

If the opposing party refuses performance, you can stop work and still sue for the value of what you already completed.

5. Do I need a lawyer for a quantum meruit claim?

Yes. An experienced contract attorney can help evaluate your case, gather evidence, and pursue recovery.


For more details on unjust enrichment and contract disputes, visit the Cornell Law School Legal Information Institute.