Damages

Question 1

AG v Blake (2001)

Answer 1

Restitutionary Damages
Russian spy breaching his contractual promise of secrecy
Able to claim damages for the profit the book made

Question 2

Colley v Overseas Exporters (1921)

Answer 2

Damages/Debt distinction

Question 3

Golden Strait Corporation v Nippon Yusen (2007)

Answer 3

Date of assessment damages
Charter party prematurely anticipated war and using the war clause terminated the contract
During arbitration a war broke out
Allowed to take this into account when calculating damages

Question 4

Thompson v Robinson (1995)

Answer 4

The defendant agreed to buy a car
He then later refused
Supply > demand and therefore damages were higher

Question 5

Bunge v Nidera BV (2015)

Answer 5

Term allowed repudiation is there was a ban on grain exports
Breached the contract in anticipation of the ban
During arbitration there was a ban
This was taken into account

Question 6

Radford v DeFoberville (1978)

Answer 6

Cost of Cure damages

Claimant was due the price of building a wall not a fence

Question 7

Ruxley Electronics v Forsyth (1996)

Answer 7

Building a swimming pool of 7.6ft
Decided to sell the house, no benefit of the deep pool
Was not entitled to the the cost of cure
Out of proportion

Question 8

Anglia TV v Reed (1971)

Answer 8

Reliance damages

Defendant repudiated the contract because of a mistake by his agent
Entitled to the full loss of expenditure, even before the signing of the contract

Question 9

CCC Films v Impact Quadrant Films (1984)

Answer 9

Reliance damages

Claimants were granted a licence by the defendants
The defendants were meant to send copied of films but failed
Claimed for the expenditure of the licence

Question 10

Chaplin v Hicks (1911)

Answer 10

Speculative damages

Beauty Contest - loss of opportunity to make a gain

Question 11

The Achilleas (2008)

Answer 11

Lord Hoffman - Hadley v Baxendale +Assumption of responsibility

Charter party failed to return the ship in time. The owners had to cancel there forthcoming contract, but by that time the price of chartering had declined

They only had to pay for the days in between rather than the difference between the charter parties

Question 12

Lambert v Lewis (1982)

Answer 12

Causation and remoteness

Towing hook broke killing someone

The fact that the hook wasn’t kept in a good condition broke the chain of causation

Question 13

Supershield v Siemens Building (2010)

Answer 13

Builders failed to install valve properly causing a flood
There happened to also be blocked drains
This did not break the chain of causation
The CA held they were liable for the whole loss

Question 14

Victoria Laundry v Newman Industries (1949)

Answer 14

Late delivery of boiler

Could claim for loss of normal profits but not for additional profits for military uniform

Question 15

R Hall v WH Pim (1928)

Answer 15

Entitled to profits on sub-sale

In these circumstances this was foreseeable

Question 16

Parsons v Uttley (!976)

Answer 16

Failed to open the ventilator
260 Pigs died
Lord Denning argued this was foreseeable

Question 17

Hadley v Baxendale (1854)

1)
2)

Answer 17

Test for remoteness

1) What parties new would be the consequence of the breach
2) Reasonable foreseeable at the time of making the contract

Question 18

McRae v Commonwealth Disposals Commission (1951)

Answer 18

Salvage expert bought tanker
Never existed
Allowed reliance damages for the expenditure leading up to the performance of the contract

Question 19

Liquidated damages

• Will not count if it is in TERRORUM of the party’s breach
• Must be a genuine pre-estimate of the loss

Lord Dunedins obiter in Dunlop v New Garage and Motor (1915)
a)
b)
c)
d)

Answer 19

a) ‘Extravagant and unconscionable’
b) Fixed sum regardless of the breach
c) The amount payable exceeds the agreement
d) To be interpreted at the time of the contract not the time of the breach

Question 20

Parking Eye v Beavis (2015)

Answer 20

Car parking fine enforceable due to a LEGITIMATE INTEREST

Question 21

Sky Petroleum v VIP Petroleum (1974)

Answer 21

SPECIFIC PERFORMANCE

Supplier refused to sell petrol to the agreed buyer
There were no other options

Question 22

Cooperative Insurance Society v Argyll Stores

Answer 22

Tenant had closed shop which was in the centre of the development
The landlord wanted a specific order, however the term wasn’t made clear enough in the contract to justify this

Question 23

Beswick v Beswick (1968)

Answer 23

Issued a specific performance to guarantee £5 payment

Question 24

American Cynamid v Ethicon (1975)

Answer 24

Patent infringement

Damages at trial would not be sufficient

Question 25

Addis v Gramaphone Co (1909)

Answer 25

Non - pecuniary losses
Claimed damages for being humiliated at work
Cannot claim damages for this

Question 26

Farley v Skinner (2001)

Answer 26

Defendant was asked to survey a house
Forgot to report back the bad airplane noise
Was awarded damages for mental distress

Question 27

Jarvis v Swan Tours

Answer 27

Holiday enjoyment

Could claim disappointment damages

Question 28

Ruxley Electronics (1995)

Answer 28

Was awarded some damages for disappointment

Question 29

Hayes v Dodd (1990)

Answer 29

Defendants failed to report that the land was inaccessible

The CA overturned the trial judges decision to award damages for “anguish and vexation”

Question 30

“The Solholt” (1983)

Answer 30

Price of ship was $5
Sellers delivered late and they rejected it
Court held that they didn’t make an effort to mitigate their loss by offering to re-buy the ship

Professor Bridge criticises this

Question 31

Payzu v Sauders (1919)

Answer 31

Sale of cloth, late payment
They offered to continue with cash payments
This was rejected
Did not make an effort to mitigate losses

Question 32

Bwulfa v Waterworks (1903)

Answer 32

“the court should not guess when they know”
Price of coal had risen considerable
This should be taken into account when calculating damages