Implicit contract law
Definition. Consists of obligations arising from a mutual agreement and intent to promise where the agreement and promise have not been expressed in words. Such contracts are implied from facts and circumstances showing a mutual intent to contract, and may arise by the conduct of the parties. A contract implied in fact is a true contract. Explicit & Implied Contract Terms Despite the flexibility persons have in negotiating the terms of a contract, the law implies certain contractual terms, prohibits other contractual terms, and directs the contractual terms if the parties do not explicitly address all issues that arise in a contractual arrangement.