Quantum Meruit is a latin term meaning “as much as is deserved”.
When one party contracts the services of another party ..and there is no mention of a specific amount to be paid for the service, the law will imply a promise to pay a reasonable amount to get the work done.
The principle of quantum meruit also applies to goods supplied. The market value of the goods wood be the basis for deciding the reasonable worth of the goods.
An example of this relating to real estate:
- Kim wants to sell her home but does not want to give a listing in writing.
- Kim verbally agrees to pay John, who is a licensee, a commission if he finds a buyer to complete the purchase of her home.
- John finds a buyer for Kim’s home and the buyer completes the purchase.
- Kim refuses to pay John any commission.
- John may try to go to court to get Kim to pay a commission based on quantum meruit.