Quantum meruit
Quantum meruit ("the amount deserved") is a claim for the reasonable value of work performed outside a contract price - historically significant where contracts are terminated or work was done without an enforceable contract.
Its practical reach narrowed sharply after the High Court's Mann v Paterson Constructions decision (2019): where a contract governs the work, contractual rates generally cap or displace quantum meruit recovery. It remains relevant for genuinely uncontracted work and some termination scenarios.
Why it matters to subbies
Do not rely on "they'll have to pay a fair price" for work done outside the paperwork - the safer money is in making the paperwork catch the work: directions confirmed, variations noticed, claims inside the machinery.
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General information for Australian subcontractors, not legal advice - contract drafting and state legislation vary and change; your document and your state's Act govern. Written by Mat Kennedy at The Construction Contracts Co.