Pure Economic Loss Flashcards
1
Q
Define pure economic loss
A
Financial loss which doesn’t flow from (or arise from) damage to the claimants person or property. You may find it easier to define pure economic loss by means of stating what it is not. The objective pure can be contrasted with consequential when it is applied to economic loss. Consequential economic loss is a very common claim in the tort of negligence and one of the most obvious examples is the reduced and capacity suffered by a person who has been disabled by the defendants negligence. A good case for the stating the difference between the two types of economic loss is spartan steel & alloys Ltd v Martin & co
