restatements Flashcards
§ 347: Measure of Damages in General
Injured party has right to damages based on his expectation interest as measured by
- the loss in value to him cause by breach
- incidental or consequential loss
- any cost or other loss avoided
§ 348: Alternatives to Loss in Value of Performance
(2) if a breach results in defective or unfinished construction and the loss in value is not proved with sufficient certainty, aggrieved party may recover on
- (a) diminution in market price
- (b) reasonable cost of completion of performance or remedying defects if that cost is not clearly disproportionate to his loss in value
§ 351 Unforseeability and related limitations on damages
(1) damages are not recoverable if the breaching party had no reason to forsee that was a result of the contract being made
(2) loss may be forseeable when it follows from breach in
- (a) ordinary course of events; or
- (b) as a result of special circumstances that the party in breach knew or had reason to know
(3) the court may limit damages excluding for loss profits if they only allowed loss for reliance if expectation would be a disproportionate compensation
§ 346 Availability of Damages
(1) the injured party has the right to damages for any breach by a party against whom the contract is enforceable unless the claim has been discharged or suspended
(2) if the breach of contract caused no loss or loss amount is not proved, a small sum of nominal damages can be awarded
§ 349 Damages based on reliance interest
as an alternative to expectation damages they can get reliance damages - including expenditures made in preparation for performance or in performance minus any loss the breaching party can prove with reasonable certainty that the injured party would have suffered if the contract had been performed.
§ 352 uncertainty as a limitation on damages
damages are not recoverable for loss beyond an amount that the evidence permits to be established with reasonable certainty
