UNJUSTIFIED ENRICHMENT ESSAY Flashcards
(3 cards)
paragraph one inc case
Unjustified Enrichment: Occurs when one party receives a benefit at the expense of another without a valid reason, and they should return it or compensate the other party.
Case: Shilliday v. Smith (1998 SC 725) – The court ruled that a person is unjustly enriched if they receive a benefit without legal justification, even if there was no intention to transfer the benefit.
Claims for Unjustified Enrichment: These claims generally involve:
Repetition: Returning money that was wrongfully transferred.
Restitution: Returning other forms of property that were unjustly received.
Recompense: Claims where a benefit was received by mistake, even if it wasn’t intended for transfer.
paragraph two inc case
Proper Negotiorum Gestio: When someone manages another person’s affairs, assuming they would want the help, even if they haven’t been formally asked.
Example: A person might pay another’s bills when they assume the other party would want them to, and recover the cost later.
Improper Negotiorum Gestio: Occurs when someone manages another’s affairs without assuming that the other person would want it or when they know the other party wouldn’t agree to the help.
Case: Brown v. MacDonald (1914) – A case where the courts decided that improper gestion could lead to a claim for unjustified enrichment, especially when one party acts without consent.
paragraph three inc case
If the defender can show a legal reason for keeping the benefit (like a valid contract), they won’t need to repay.
Change of position defence: If the defender relied on the enrichment and changed their position (e.g., spent the money), repayment may be reduced or denied.
