law of contract
Contracts Summary
DAMAGES – REMEDIES FOR BREACH OF CONTRACT
THE INTERESTS PROTECTED
Fuller and Perdue, “The Reliance Interest in Contract Damages”
There are three principle purposes in awarding contract damages: restitution interest – object is the prevention of unjust enrichment by the defaulting promisor at the expense of the promisee reliance interest – object is to put the plaintiff in a good position as he was before the promise was made expectation interest – object is to put the plaintiff in as good a position as he would have been had the defendant performed the promise
Wertheim the ruling principle of awarding monetary damages for breach of contract is to place the plaintiff in the same position as he would have been if the contract had been performed
Anglia Television Ltd.
Facts: P is suing D for wasted expenditure arising from D’s breach of K to star in their production wasted expenditure can be recovered when it is wasted by reason of the defendant’s breach of contract and when it is reasonably imputed that if the contract was broken, the expenditure would be wasted cannot prove lost profits so entitled to claim reliance interest
Damages for Pre-Contract Expenditure, A. I. Ogus if the plaintiff is allowed to elect between his reliance and expectation interest, he may be put in a better position than if the defendant had performed his contract
Bollenback v. Continental Casualty Co.
Facts: P was hospitalized while health policy in effect, D refused to pay, P sued to rescind K.
The plaintiff is justified to rescind k and to claim restitution when the breach is substantial; however parties are only given damages for the claims they did not receive benefits for
Bolway Logging v. Domtar
Facts: A logging contract was terminated by the timber owner’s own breach when a contract is breached, but the appellant is losing not because of the respondent’s breach, but because of an improvident contract, the respondent will not be
DAMAGES – REMEDIES FOR BREACH OF CONTRACT
THE INTERESTS PROTECTED
Fuller and Perdue, “The Reliance Interest in Contract Damages”
There are three principle purposes in awarding contract damages: restitution interest – object is the prevention of unjust enrichment by the defaulting promisor at the expense of the promisee reliance interest – object is to put the plaintiff in a good position as he was before the promise was made expectation interest – object is to put the plaintiff in as good a position as he would have been had the defendant performed the promise
Wertheim the ruling principle of awarding monetary damages for breach of contract is to place the plaintiff in the same position as he would have been if the contract had been performed
Anglia Television Ltd.
Facts: P is suing D for wasted expenditure arising from D’s breach of K to star in their production wasted expenditure can be recovered when it is wasted by reason of the defendant’s breach of contract and when it is reasonably imputed that if the contract was broken, the expenditure would be wasted cannot prove lost profits so entitled to claim reliance interest
Damages for Pre-Contract Expenditure, A. I. Ogus if the plaintiff is allowed to elect between his reliance and expectation interest, he may be put in a better position than if the defendant had performed his contract
Bollenback v. Continental Casualty Co.
Facts: P was hospitalized while health policy in effect, D refused to pay, P sued to rescind K.
The plaintiff is justified to rescind k and to claim restitution when the breach is substantial; however parties are only given damages for the claims they did not receive benefits for
Bolway Logging v. Domtar
Facts: A logging contract was terminated by the timber owner’s own breach when a contract is breached, but the appellant is losing not because of the respondent’s breach, but because of an improvident contract, the respondent will not be