An implied contract is an agreement that is not explicitly stated but is inferred from the actions, conduct, or circumstances of the parties involved. These contracts arise when the parties' behaviour suggests that they intend to create a binding agreement, even if they haven't formally articulated it.
Implied contracts often occur in everyday situations, such as when you visit a restaurant. By ordering food, you imply that you agree to pay for the meal, even though there is no written or spoken contract detailing the terms. A relevant case is London Borough of Barking and Dagenham v. A. M. R. (2004), where the court found that an implied contract existed between a council and a contractor based on their ongoing interactions and established practices, despite the absence of a formal agreement.
Explore our Contract Law Notes for more insights on implied contracts, including key cases and practical examples to enhance your understanding.