A party to a contract who has no reason to know that the contract is illegal can often obtain restitution on a partially executed contract.

Question

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When a party to a contract is unaware of the contract's illegality and has partially executed their obligations, courts may allow them to recover under the principle of restitution to prevent unjust enrichment of the other party. This is because the innocent party is seen as less at fault and deserving of protection.

A Party to a Contract Who Has No Reason to Know