What is implied in a contract?

In Arizona, an implied contract is a type of contract formed by the circumstances surrounding the circumstances of the agreement. It is created when two parties agree to do something, either verbally or through their conduct, and both parties understand they are entering into a legally binding agreement – even though the terms of the agreement may not be formalized in writing. When two parties enter an implied contract, they are responsible for honoring its terms. This means that each party must fulfill their obligations as they were understood by both sides at the time of the agreement. The parties may not realize that they are in a legally binding relationship, but their actions imply that they do. An example of an implied contract is when a homeowner hires a plumber to fix a plumbing issue. Even if the contractor and the homeowner do not formally sign a contract, the circumstances of the job imply that there is an implied contract in place. Furthermore, an implied contract in Arizona also implies certain implied terms. These are terms that are considered part of the agreement, even though they are not explicitly included in the contract. The implied terms may come from industry standards or past practices. For instance, implied terms can include an obligation for parties to act in good faith, to honor their duties with reasonable care, or to be willing to discuss any issues that arise. In conclusion, an implied contract in Arizona is a legally binding agreement where two parties are expected to honor the terms of the agreement, even though the terms are not expressly stated in writing. The agreement also implies certain terms, such as an obligation to act in good faith and to show reasonable care.

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