ASSIGNMENT

Topic: (Quasi contract, one person

company)

Submitted To
Fathima sherin
Associative prof.(
Management Submitted By
Studies) mangalam college of Athul R
Engineering, ettumanoor S1 MBA Batch B
Submitted on: 26/02/2021 Roll no: 16
 INTRODUCTION
A quasi contract is a contract that is created by a court
order, not by an agreement made by the parties to the
contract. For example, quasi contracts are created by
the court when no official agreement exists between
the parties, in disputes over payments for goods or
services. The goal in the court’s creation of these
contracts is to prevent unjust enrichment to any party.
The revolutionary new concept of 'One Person
Company' (OPC) has been introduced by the
Companies Act, 2013. This concept of OPC was first
recommended by the expert committee of Dr. JJ Irani
in 2005. OPC provides a whole new bracket of
opportunities for those who look forward to start their
own ventures with a structure of organized business.
OPC will give the young businessman all benefits of a
private limited company which categorically means
they will have access to credits, bank loans, limited
liability, legal protection for business, access to market
etc all in the name of a separate legal entity.
QUASI CONTRACT
A quasi contract is a contract that is created by the
court when no such official contract exists between the
parties, and there is a dispute with regard to payment
for goods or services provided. Courts create quasi
contracts to prevent a party from being unjustly
enriched, or from benefitting from the situation when
he does not deserve to do so.
Consider the following example of a quasi contract:
Teresa’s brother, Eric, tries to talk her into building a
greenhouse in her large back yard. She declines, but
Eric is convinced that, if she were surprised by a lovely
greenhouse, she would love it. Knowing that Teresa
makes good money, and could easily afford the
greenhouse, Eric contacts greenhouse builder John,
and arranges to have him erect the structure while his
sister is at work one day.
Teresa is not happy by her brother’s initiative, but the
deed is done. Eric has directed John to bill his sister for
the greenhouse, and that turns out to be the biggest
surprise for her. She declines to pay, and Eric tells John
he cannot afford it. John is now out, not only payment
for his many hours of hard work, but cash for the
materials he used.
John has no choice but to file a civil lawsuit against
Teresa, seeking payment. No contract exists between
Teresa and John, however the court might allow John
to recover the costs involved with building the
greenhouse from Teresa, in order to prevent Teresa
from being unjustly enriched. This is because, whether
Teresa planned on it or not, she now has a brand new
greenhouse.
A quasi contract, or an “implied-in-law” contract, may
offer less recovery than an implied-in-fact contract.
This is because an implied-in-fact contract lays out the
terms of an agreement in its entirety, as the parties
initially intended, even if only in a verbal agreement. As
a result of an implied-in-fact contract, a party may be
entitled to recover any and all expected profits, as well
as the cost of any labour and materials he may have
laid out to complete the project.
A quasi contract will only afford as much recovery as
necessary to prevent one party from being unjustly
enriched. In the example above, it would be unfair for
Teresa to benefit from the new greenhouse at John’s
expense, even though she never intended to enter into
a contract with him.
One PERSON COMPANY
The Companies Act, 2013 introduced a revolutionary
concept, and since then, the idea has changed the way
several companies do business. The concept is that of
One Person Company (OPC), and it was recommended
in 2005, by a committee headed by Dr JJ Irani. The idea
of OPCs was genuinely ground breaking because it
helped provide investors with an excellent opportunity
to take power into their own hands and gave them
several benefits. It gave young entrepreneurs benefits
that an ordinary Private Limited company could avail,
while, at the same time, providing them with added tax
and HR benefits.
Here’s a look at everything you need to know about
One Person Companies and why they are so useful.
Concept of One Person Company
As per Section 2(62) of the Companies Act, 2013, a One
Person Company is defined as any company with just
one member. Section 3 of the Act, also clarifies that an
OPC will be considered a Private Company when it
comes to legal matters. Hence, all rules which must be
held in place for a Private company is also valid for an
OPC. The only exception to this rule is that an OPC can
be made only by a “Natural Indian” who lives in India
can form an OPC. Also, another law states that one
particular individual cannot create more than 5 OPCs in
his or her name.
Formation and Features of the company
An OPC is created the same way as a private limited
company, with the only difference being that it has
only one member and is prohibited from inviting
members from the public to be a part of it.

An OPC member must nominate another with consent

and have this nominee’s name filed to the Registrar of
Companies.
This nominee will run the OPC if the founding member
dies or meets with some exceptional circumstances.
The member may change the name of the nominee, as
and when he or she desires by approaching the
Registrar of Companies. If the member dies, while in
power, then all the shares and liabilities that the OPC
has accumulated, automatically pass onto the nominee
 CONCLUSION
It can be said that Quasi contracts are not contracts as
per Indian Contract 1872 but obligations imposed by
law and only in certain situations.Quasi contracts only
creates obligation so that there is no unjust
enrichment on one party. The enactment of the act has
taken the entrepreneurship of India to the next level
which has evolved due to globalisation and enhanced
the market. Small traders and craftsmen have gained
maximum potential via this act o
 REFERENCE
http://lawtimesjournal.in/what-is-a-quasi-
contract/#:~:text=Conclusion,unjust%20enrichment%2
0on%20one%20party.
https://blog.ipleaders.in/one-person-company-
overview/
https://www.mondaq.com/india/corporate-and-
company-law/278154/one-person-company-a-
concept-for-new-age-business-ownership