6-Law-Contract-Damages

damages in law

After breach of promise, injured party can ask for lost value {damages, law}.

compensatory damages

Damages {compensatory damages}| can compensate non-breaching party for injuries actually sustained and proved to have arisen directly from losses resulting from contract breach. For breached sales contracts, compensatory damages are typically difference between contract price and market price.

consequential damages

Damages {consequential damages}| {special damages} can compensate non-breaching party for additional contract-breach-caused losses that resulted from special circumstances. To recover consequential damages, breaching party must know, at time contract begins, that special circumstances may cause non-breaching party to incur additional losses on contract breach.

mitigation of damages

Plaintiff must do whatever is reasonable to minimize damages caused by defendant {mitigation of damages}|. Damage mitigation allows injured party to try to reduce damages caused by breaching party, but breaching party is still liable.

punitive damages

Damages {punitive damages}| can punish breaching party. Courts typically award punitive damages only for torts.

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6-Law-Contract

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Drawings

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Date Modified: 2022.0225