MBE Rules · Remedies
Money Had and Received
Money had and received
The rule
A common count lies where the defendant received money that in equity and good conscience belongs to the plaintiff — mistake, fraud, failed consideration — and functions as legal restitution.
In plain English
The rule of Money Had and Received allows a plaintiff to recover money that the defendant has received but should not keep, as it rightfully belongs to the plaintiff. This can occur in situations involving mistakes, fraud, or when a contract fails to deliver what was promised.
Worked example
A contractor was paid $10,000 to renovate a kitchen but failed to perform any work due to a lack of necessary permits. The homeowner can sue the contractor for Money Had and Received to recover the $10,000, as the contractor has received money that he did not earn.
Memory hook
If you got paid but didn’t deliver, it’s time to give that money back!
The trap
Exams may include scenarios where the plaintiff is partially at fault, leading students to mistakenly believe restitution is unavailable. Students should remember that even if there’s some fault, restitution can still apply.
How examiners test it
Questions often present fact patterns involving mistaken payments or failed contracts, prompting students to identify whether the Money Had and Received rule applies for recovery of funds.
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