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Contract Glossary

Unjust Enrichment

Definition

Unjust enrichment is a legal principle that prevents one party from unfairly profiting at another's expense. If someone receives a benefit they didn't pay for and keeping it would be unjust, courts can order them to pay — even without a written contract.

In Practice

A freelance designer creates a full brand identity for a startup based on verbal discussions. The startup uses the logos and templates but refuses to pay because 'there was no signed contract.' The court orders the startup to pay the reasonable value of the design work.

Frequently asked questions about unjust enrichment

Three elements: (1) the defendant received a benefit, (2) the defendant knew about or appreciated the benefit, and (3) it would be unjust for the defendant to keep the benefit without paying.

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This content is for informational purposes only and does not constitute legal advice. For contracts with significant financial or legal implications, review by a qualified attorney is recommended.