Mike,the owner of a yogurt shop,orders 500 quarts of yogurt from his supplier.Nothing,however,is said by either party about the price or method of payment.The supplier ships the yogurt as ordered.Since this is a contract implied in fact,Mike must pay his supplier for the yogurt.

Question

Quizplus · Accepted Answer

A contract implied in fact is created based on the conduct of the parties involved, and even though there was no explicit agreement on the terms of payment, the fact that Mike ordered the yogurt and the supplier shipped it implies an agreement to pay for it. Therefore, Mike is obligated to pay for the yogurt he ordered.

Mike,the Owner of a Yogurt Shop,orders 500 Quarts of Yogurt