Common Law Damages

Question 1

Corbin Rule

Answer 1

Breaching party can recover damages after a willful breach

Question 2

Williston Rule

Answer 2

breaching party cannot recover damages after a willful breach

Question 3

Expectation Damages (rule)

Answer 3

To put the non-breaching party in the position they would have been put in had the contract been fully performed

Question 4

Expectation damage (substantial performance)

Answer 4

“On the contract”
1) repair and replacement
2) value of the work promised - value of the work delivered

Question 5

expectation damages (no substantial performance)

Answer 5

Quantum Meruit
1) value of the work done +lost profits
2) K price- cost to complete performance

Question 6

reliance rule statement

Answer 6

to place the non-breaching party in the position they would have been in prior to the K

Question 7

Reliance formula

Answer 7

out of pocket losses (if the non-breaching party would have suffered a loss upon full performance, then that must be subtracted)

Question 8

Restitution rule Statement

Answer 8

divesting the parties to a contract of any benefit conferred before the breach

Question 9

Two formulas for restitution

Answer 9

1) by the amount the other party’s estate has increased
2) by the reasonable value of performance