Quantum meruit: Does your building contract still matter?

A builder's entitlement to recover on a quantum meruit basis is essentially an entitlement to a fair and reasonable sum for works completed and goods provided. This is often used by builders to try to recover monies for out of scope works that were provided but not set out in the original contract.

A claim for quantum meruit may arise if:

• there is no specified sum to be paid under a contract;
• there is an express agreement to pay a reasonable sum;
• work is completed outside the scope of the contract, at the request of the principal/homeowner; and/or,
• the contract is found to be void or unenforceable.

How does it work?

A typical scenario that leads to a claim for quantum meruit is as follows: