Remedies in Contract Law Flashcards
What is a remedy
An award made by a court to the innocent party in a civil case
Damages
An award of money to compensate the innocent party
Equitable remedies
Fair and always discretionary
Types of losses and cases
Pecuniary-Anglia TV v Reed
Non pecuniary-Jarvis v Swans Tours LTD
Anglia TV v Reed
Employed to act. Pulled out. As could not calculate future sales, damages based on expenditure i.e director costs etc
Jarvis v Swans Tours LTD and precedent set
Non pecuniary losses-awarded for his disappointment.
Where contract is entered for purpose of entertainment, damages can be awarded for distress, upset, disappointment etc
2 types of damages +case for one
Liquidated-agreed in advance by parties should breach occur (ParkingEye v Beavis)
Unliquidated-awarded by courts
3 limitations on awarding damages
Remoteness
Causation
Mitigation of loss
Remoteness and case
D only liable if losses were reasonably foreseeable as arising from breach
Hadley v Baxendale-D contracted to take shaft to miller. Returned 7 days late, wasn’t his fault. C brought claim for loss of profit as a result. Held:too remote as D unaware mill would be closed during delay
Wiseman v Virgin Atlantic
Calculating damages/Remoteness
Refused flight, accused of fake passport.
Broke up with fiancée, robbed while forced to stay
Held:restaurant/hotel bills=not remote
Fiancées expenses for meeting at airport=too remote
Robbery=too remote
Causation and 2 cases
D’s breach must be the main cause of C’s loss
Stansbie v Troman-entrusted with keys, left unlocked and was robbed. D liable
Quinn v Birch Brothers Builders-implied term to provide equipment. Didn’t provide ladder, C used table and injured. Held: D in breach of not providing equipment, but did not CAUSE injury as C chose himself
Mitigation of loss and case
Innocent party must mitigate their losses. Cannot recover losses that could’ve been prevented.
Pilkington v Wood-C purchased house with defect. Sued solicitor for negligence for failing to notice. Liable for difference in value with and without the defect
2 indicators to calculating damages
Reliance loss-put C back in original position before contract made (Anglia TV v Reed)
Loss of expectation-put C in position if breach never occurred.
Chaplin v Hicks
Loss of expectation
C entered beauty contest. Top 50 get interview, didn’t get interviewed. Held:entitled to damages, did not to prove she would be successful at interview, loss of expectation was sufficient
