Why might a quasi contract be formed?

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A quasi contract is a legal construct that is used to prevent unjust enrichment when one party benefits at the expense of another, even in the absence of a formal contract. The primary purpose of forming a quasi contract is to ensure equitable outcomes in situations where it would be unjust for one party to retain benefits without compensating the other.

This is particularly relevant in circumstances where services have been provided or goods delivered, and the recipient has not compensated the provider, leading to an inequitable situation. By establishing a quasi contract, the law intervenes to ensure that the party who has received a benefit is obligated to pay for it, thereby upholding fairness and promoting justice.

The other options, while they touch on various aspects of contractual obligations and enforceability, do not accurately capture the essence of why a quasi contract specifically exists. Clarifying ambiguous contract terms or avoiding breach consequences relates more closely to traditional contract law rather than the principles governing quasi contracts. Similarly, a quasi contract does not create enforceability on its own; it functions as a remedy under circumstances where no formal agreement exists, ensuring that one party does not unfairly profit from another's loss.

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