Legal Definitions - implied assumption

An implied assumption refers to a fact or condition that parties to an agreement or situation understand to be true, even though it has not been explicitly stated or written down. These assumptions are often based on common sense, industry custom, the nature of the transaction, or the surrounding circumstances. Legally, an implied assumption can influence how a contract is interpreted, what duties are owed, or what risks are understood to be accepted.

Here are some examples illustrating implied assumptions:

• Example 1: Purchasing a Product

  When a customer buys a new coffee maker from a department store, both the customer and the store operate under several implied assumptions. The customer implicitly assumes that the coffee maker is new, fully functional, and safe to use, and that the store has the legal right to sell it. The store, in turn, implicitly assumes the customer will use the coffee maker for its intended purpose and not attempt to resell it as a new item from the store's inventory. Neither party typically vocalizes these basic understandings during the transaction.

  This illustrates an implied assumption because the fundamental expectations of quality, safety, and legitimate ownership are understood without being explicitly stated in the sales agreement.

• Example 2: Hiring a Professional Service

  A homeowner hires a licensed electrician to rewire their kitchen. The homeowner implicitly assumes that the electrician possesses the necessary skills, training, and adherence to safety codes required for the job. Similarly, the electrician implicitly assumes that the homeowner has the authority to authorize the work and will provide a safe working environment. These core understandings form the basis of their professional relationship, even if not detailed in every clause of their written contract.

  This demonstrates an implied assumption because the competence of the professional and the legitimacy of the request are foundational understandings that are not typically spelled out but are essential to the agreement.

• Example 3: Attending a Public Event

  An individual purchases a ticket to attend a concert at a large outdoor amphitheater. By doing so, they implicitly assume certain inherent risks associated with being in a large crowd, such as minor jostling, exposure to loud music, or the possibility of inclement weather. They also implicitly assume that the venue will provide a reasonably safe environment, free from obvious hazards, and that the concert will actually take place as advertised (barring unforeseen circumstances).

  This shows an implied assumption because the attendee accepts the common and foreseeable risks of a public gathering, while also expecting a basic level of safety and event delivery, without these conditions being explicitly listed on the ticket or at the entrance.