Remedies Flashcards
Contract damages must be
1) Causal, 2) foreseeable at time of K, 3) certain, and 4) unavoidable
Expectancy Damages
Seek to put the parties in the position they would’ve been in had the K been performed
Damages are difference between the market price/cover (UCC) and the K price
Consequential Damages
Damages that logically flow from the breach
Apply 4-part analysis
Reliance Damages
Seek to put the party in the position they would’ve been in had the K not been formed
Out of pocket costs incurred before the K is performed
Only available if the expectancy damages are too speculative or K was never performed
Apply 4-part analysis
Incidental Damages
Expenses reasonably incurred in shipping, care, and custody of the goods, and for the seller, in re-selling the goods after a breach
Liquidated Damages
Parties’ agreed-upon damages
Upheld if damages are extremely difficult to ascertain and stipulated amount is in a reasonable forecast of damages
Contract Equitable Remedy - Specific Performance
1) There’s a valid K, with definite and certain terms;
2) P has met all conditions required or they’re excused;
3) Legal remedy is inadequate; and
4) The remedy is feasible for the court to supervise
Never available in personal services Ks
Contract Equitable Remedy - Temporary Restraining Order
1) Irreparable injury;
2) Likelihood of success;
3) Balance of hardships favors the injunction;
4) Irreparable harm is imminent; and
5) Notice to the adverse party, if possible
Contract Equitable Remedy - Preliminary Injunction
1) Irreparable injury;
2) Likelihood of success;
3) Balance of hardships favors the injunction; and
4) Notice to the adverse party
Contract Equitable Remedy - Rescission for Mistake
Mistake must go to the basis of the bargain
Mutual mistake
Unilateral mistake (majority: granted if non-mistaken party knows or should know of the mistake)
Contract Equitable Remedy - Recission for Misrepresentation
1) False representation/omission of material fact;
2) D knew (intentional), should’ve known (negligent), was false, or innocently made (innocent); and
3) P reasonably relied to detriment
Contract Equitable Remedy - Reformation
Rewriting the K
Requires a valid prior agreement
Granted for mutual mistake of fact, unilateral mistake, mistake of law, and fraud
Declaratory Relief
Rights and obligations of parties to a K
Tort damages must be
1) Causal, 2) foreseeable, 3) certain, and 4) unavoidable
Torts Equitable Remedies - TROs and Preliminary Injunctions
Same elements
