Module 8: Remedies for Breach of Contract Flashcards
Hadley v Baxendale
Crankshaft had broken and given to Hadley for repairs. Hadley returned it late. Baxendale sued for loss of profits. Hadley argued that loss could not have been foreseen. Decided in favour of him, that he was only liable to foreseeable losses or if Hadley had mentioned special circumstances.
Simpson v London & North Western Railway
Manufacturer used to send samples to exhibitions. He sent sample to railway company to deliver to New Castle, with a deadline. Goods were delivered late. Held liable for losses as they were aware of the special circumstances.
Warner Bros v Nelson
Bette Davis’ contract with Warner Bros to work with them exclusively for 52 weeks. She accepted an offer to appear in films in Britain. Held in breach of contract, Court will not enforce negative clauses if they would force them into starvation or to act out the positive clauses (service only)
Cutter v Powell
Second Mate killed in the middle of the voyage. Widow refused the wages for the period he was alive. Ordered that wages must be paid on quantum meruit basis for the amount of time the man worked.
Prickett v Badger
The defendant had refused to sell his land after the plaintiff, a broker, found a buyer at his stipulated price. Plaintiff had done everything possible and deserved to get his commission even if Defendant chose not to sell his land. Paid on quantum meruit basis.
Indu Mehta v State of UP
Plaintiff hired for the position of Asst. District Govt. Counsel, where she provided services. Later found that her appointment violated the CrPC and was invalid. Argued that State had already enjoyed the benefits of her services and therefore she was entitled to the pay.
Nair Service Society Ltd. v Rev. K. C. Alexander
A person ousted by someone who has no better right than he has will be entitled to recover possession by virtue of the possession he had held prior to the ouster, despite being possession without title. A person without occupying a land with the assumed character of owner and exercising ownership peaceably has better rights to the property than everyone in the world but the rightful owner. If the rightful owner does not come forward and file a suit for his claim of the land within the statute of limitations, their right will be forever extinguished and the possessory owner will gain title.
Kanchan Udyog v United Spirits
A claim for compensation must be supported by an establishment that the loss of anticipated profits was caused by the breach of contract. Causal connection between breach and loss is essential. Remoteness of damage also has to be determined on basis whether loss was within the reasonable foreseeability of the parties. No compensation is payable for making a bad bargain.
C. S. Venkatesh v A. S. C Murthy
The mere plea the plaintiff is willing to pay consideration without any material to substantiate that plea is not enough. Not necessary for the plaintiff to produce ready money, but mandatory to prove he has the means of generating the consideration amount.
Deccan Paper Mills v Regency Mahavir Properties & Ors.
Any person against whom a written instrument is void or voidable, if under the apprehension that the instrument may cause him injury if left outstanding, may approach the court to have it adjudged as void.
