Section 3.12 Implied Contract

• Library: Settling Cases 2014

While the foregoing rules are fairly simple to apply in the case of express contracts, they become more problematic when there is no formal contract. Even in the absence of an express contract, there still may be a basis for contractual indemnification, the effect of which will be to thwart a settlement under § 537.060, RSMo 2000.

At common law, an implied contract of indemnity arises in favor of persons who, without any fault on their part, are exposed to liability and compelled to pay damages because of...