Contract Remedies Flashcards
Define
Expectation Damages
K remedies
Expectation damages are awarded to put the plainiff back in the position he would have been in had the wrong not occured.
In torts, called compensatory damages
What are the requirements to collect expectation damages?
K remedies
- Foreseeability
- Causation
- Certainty of proven loss
- Unavoidablity- must take reasonable steps to mitigate damages.
Are there punitive damages in K law?
K remedies
No.
Punitive damages are only awareded in tort law for a D’s willful, wanton, or malicious conduct. Punitive damages must be accompanied by compensatory, nominal, or restitutionary damages.
Define
Liquidated Damages
K remedies
Liquidated damages limits the damages recoverable by the plainiff.
A liquidated damages amount reasonably forecasts what damages could be.
When are consequential damages awarded?
K remedies
Consequential damages are for related damages foreseeable at the time of formation.
ISSUE SPOT: A contract was repudiated for services.
What are the requirements for specific performance?
K remedies
- Valid Contract
- Plaintiff adequatly performed
- Inadequacy of other remedies
- mutuality of performance
- Feasibility of enforcement
- No defenses
When will specific performance be denied?
K remedies
Specific performance will be denied for labor contracts. The enforcement element creates the possibility of indentured servitude outlawed by the 13th Amendment.
Define
Recision
K remedies
Recission occurs when the original K was voidable and recinded.
Requires:
1. Grounds: The K was never valid.
2. Defenses: Unclean hands;laches.
Define
Reformation
K remedies
Reformation occurs when the contract needs to conform to the parties original intent.
Requires:
1. A valid contract
2. Grounds for reformation: mutual mistake, misrepresentation; unliateral mistake;
3. Defenses: unclean hands; laches
