Chapter 12

Question 1

Kinds of damages in breach of contract

Answer 1

Tangible

Intangible
(mental distress)

And nominal damages
- no measurable loss, accord can award something small as a symbol of acknowledgement to wrongdoing

Aggravated damages
- same as punitive

Question 2

Expectation damages

Answer 2

Represent the dollar value of the benefit the non-breaching party expected to receive under contract

Forward looking

Question 3

Reliance damages

Answer 3

Usual remedy for breach of contract

Represent the dollar value of the expenses and opportunities the plaintiff wasted in a contract now that it’s breached

Backward looking

Doesn’t mean these can be awarded if a bad deal was made

Question 4

Expectation damages vs reliance damages

Answer 4

Expectation damages look forward to anticipate benefit

Reliance damages look backwards on what was wasted

Generally entitled to either, but not both

Question 5

Remoteness

Answer 5

Refers to how distant something is

If a loss is to remote from the cause of the damage it won’t be compensated for

Remoteness determined at the time the contract is created
- if something is not reasonably foreseeable, it must be put in the contract

Question 6

Remoteness Test

Answer 6

Loss is not remote if the defendant Had subjective or objective knowledge that a breach might cause that sort of loss

Requires:

Subjective- the defendant actually knew that sort of loss could occur

Objective- a reasonable person could recognize that sort of loss could occur

Question 7

Mitigation

Answer 7

Harmed parties have an obligation to minimize losses

Entitled to expenses incurred in mitigation

Question 8

That equitable remedies limits

To get an equitable remedy..

Answer 8

Specific performance generally not applied to personal services (can’t force someone to do something they don’t want too)

To get an Equitable remedy:

adequacy: monetary remedy would be inadequate

Judicial supervision: won’t be awarded if doing so would require ongoing judicial supervision

Mutuality: will only be ordered in favour of someone if it can be ordered against them

Question 9

Unjust enrichment

Cause of action with three elements

Answer 9

Enrichment to defendant

Deprivation to plaintiff

No reason for defendants enrichment

Remedy of enrichment : restitution
- requires defendant to give back the benefit gained from the plaintiff