Chapter 14 Flashcards
Designed to compensate the non breaching party for the loss of the bargain
Damages
What are the 4 categories of damages
Compensatory
Consequential
Punitive
Nominal
Damages that compensate the nonbreaching party for the loss of the bargain
Compensatory Damages
Damages that compensate for expenses directly incurred because of a breach of contract, such as those incurred to obtain performance from another source
Incidental Damages
Foreseeable damages that result from a party’s breach of contract but are cause by special circumstances beyond the contract itself
Consequential Damages
A small monetary award granted to a plaintiff when no actual damage was suffered
Nominal Damages
The requirement that a plaintiff do whatever is reasonable to minimize the damages caused by the defendant
Mitigation of Damages
An amount, stipulated in a contract, that the parties to the contract believe to be a reasonable estimation of the damages that will occur in the event of a breach
Liquidated Damages
A contract clause that specifies a certain amount to be paid in the event of a default or breach of contract but is unenforceable because it is designed to punish the breaching party rather than to provide a reasonable estimate of damages
Penalty
An equitable remedy under which a person is restored to his or her original position prior to loss or injury, or placed in the position he or she would have been had the breach not occurred
Restitution
An equitable remedy in which a court orders the parties to perform as promised in the contract. This remedy normally is granted only when the legal remedy is inadequate
Specific Performance
What are the Requirements of a Quasi Contract?
Party conferred a benefit on the other party
Party conferred the benefit with the reasonable expectation of being paid
Party did not act as a volunteer in conferring the benefit
Party receiving the benefit would be unjustly enriched if allowed to retain the benefit without paying for it
