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Unjust Enrichment vs. Breach of Contract in Ontario: When to Plead Both

Not sure if your Ontario agreement is enforceable? Learn why plaintiffs often plead unjust enrichment alongside breach of contract as a legal backup plan.

Litigation6 min readTSLBy the Treadstone Law team · OntarioUpdated 2026-07
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Key takeaways
  • Breach of contract asks a court to enforce a bargain: there was a valid agreement, one side didn't hold up their end, and you're entitled to what the contract promised (or damages…
  • Litigation involves real uncertainty about how a court will characterize the facts.
  • Ontario's Rules of Civil Procedure allow claims to be pleaded in the alternative — you're not required to commit to a single legal theory before you know how the facts will be found.

You believe you have a contract, and you believe the other side broke it. But what if a court later decides the agreement was never properly formed, was too vague to enforce, or didn't cover what actually happened? If your entire case rests on breach of contract alone, that outcome can leave you with nothing — even though you were clearly out of pocket.

This is why Ontario plaintiffs frequently plead unjust enrichment alongside breach of contract, as a backup claim rather than a replacement for it. Understanding when and why to do this can be the difference between a case that survives a shaky contract argument and one that collapses with it.

The Basic Difference Between the Two Claims

Breach of contract asks a court to enforce a bargain: there was a valid agreement, one side didn't hold up their end, and you're entitled to what the contract promised (or damages standing in its place).

Unjust enrichment doesn't depend on there being an enforceable contract at all. It asks whether the other side received a benefit at your expense, with no legal justification for keeping it. It's a fallback rooted in fairness rather than bargain-keeping.

Breach of ContractUnjust Enrichment
Requires a valid, enforceable contract?YesNo
What's recoveredThe benefit of the bargain (contract price or damages)The value of the benefit conferred
Typical trigger for useContract terms are clear and enforceableContract is missing, disputed, incomplete, or void
Central questionDid they breach what was agreed?Would it be unfair for them to keep what they received?

Why Plaintiffs Plead Both

Litigation involves real uncertainty about how a court will characterize the facts. Common situations where pleading both makes sense:

In each case, pleading unjust enrichment in the alternative means that if the breach of contract claim fails on a technicality, the court can still consider whether it would be unfair for the other side to keep what they received.

How This Plays Out in a Statement of Claim

Ontario's Rules of Civil Procedure allow claims to be pleaded in the alternative — you're not required to commit to a single legal theory before you know how the facts will be found. A typical structure:

  1. Set out the facts of what happened, described neutrally so they support either theory.
  2. Plead breach of contract as the primary claim, identifying the agreement and how it was broken.
  3. Plead unjust enrichment in the alternative, in case the contract claim doesn't succeed.
  4. Claim relief that covers both possibilities, so the pleading isn't limited to contract damages alone.

A court generally addresses the contract claim first. It only turns to unjust enrichment if the contract claim doesn't succeed — you don't get to recover under both theories for the same loss.

A Practical Example

Say a contractor and homeowner exchange emails about a renovation, start work, but never sign a final written contract before a dispute erupts over scope and price. The contractor sues for breach of contract, arguing the email exchange formed a binding agreement.

If a court decides the emails were too vague to form an enforceable contract, a pure breach of contract claim fails outright. But if the contractor also pleaded unjust enrichment, the court can still consider whether the homeowner unfairly benefited from work performed and materials supplied — and order payment for the reasonable value of that work.

Points to Keep in Mind

Frequently asked questions

Can I recover under both claims at the same time?

No. Alternative pleading means the court will only award a remedy under one theory — usually whichever one succeeds and provides the more complete recovery. You're preserving options, not stacking claims.

Does pleading unjust enrichment weaken my breach of contract claim?

Not if it's drafted properly. Pleading in the alternative is a standard, accepted litigation technique. It signals prudence about factual uncertainty, not doubt about your primary claim.

What if there clearly is a valid written contract?

Then unjust enrichment usually isn't needed or available for the same subject matter — a valid, enforceable contract that covers the dispute is generally treated as the "legal reason" that defeats an unjust enrichment claim. It becomes more relevant when the contract's existence, validity, or scope is genuinely in doubt.

Do I need a lawyer to plead a claim this way?

You can plead claims yourself in Small Claims Court, but structuring alternative claims correctly — so they support each other rather than undermine your credibility — is exactly the kind of drafting where legal advice tends to pay for itself, especially for larger or more complex disputes.

This article is general information, not legal advice. Reading it does not create a lawyer-client relationship. Ontario laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a licensed Ontario lawyer. Treadstone Law is licensed by the Law Society of Ontario — reach us at 1-844-900-1070 or start a file online.

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