An implied contract is a legally binding agreement that is not explicitly stated in writing or spoken words. This type of agreement is based on the actions, behavior, or circumstances of the parties involved. In other words, the parties involved behave in a way that suggests a mutual understanding of an agreement, even if it is not specifically stated.
An example of an implied contract can be seen in employment relationships. When someone is offered a job, there is an implied contract between the employer and the employee. The employer is offering the job with the understanding that the employee will accept the offer and perform the duties of the position.
The employee, by accepting the job, is agreeing to perform the duties of the position and follow the policies and procedures of the company. Although these expectations are not explicitly stated in writing, they are implied by the actions and behavior of the parties involved.
Another example of an implied contract is seen in the relationship between a landlord and a tenant. When a tenant signs a lease agreement, there is an implied contract between the landlord and the tenant. The landlord is offering the tenant a place to live with the understanding that the tenant will pay rent, abide by the rules of the lease agreement, and maintain the property.
The tenant, by signing the lease agreement, is agreeing to pay rent, follow the rules of the lease agreement, and maintain the property. Again, these expectations are not explicitly stated in writing, but are implied by the actions and behavior of the parties involved.
It is important to note that although an implied contract is not explicitly stated in writing, it is still legally binding. If one party violates the terms of the implied contract, the other party has the right to take legal action to enforce the agreement.
In conclusion, an implied contract is a legally binding agreement that is not explicitly stated in writing or spoken words. It is based on the actions, behavior, or circumstances of the parties involved. Both parties have an understanding of the agreement, even if it is not specifically stated. Understanding implied contracts is important in both personal and professional relationships to ensure that all parties are aware of their obligations and responsibilities.