Methods of Limiting Damages

G. H. Treitel

in Remedies for Breach of Contract

Published in print October 1988 | ISBN: 9780198255000
Published online March 2012 | e-ISBN: 9780191681554 | DOI:
Methods of Limiting Damages

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All legal systems agree in placing some limitations on the recoverability of damages for breach of contract. This chapter discusses the principal techniques used by various legal systems to achieve the commonly held aim of limiting damages. Under the first, damages are limited by reference to the degree of the debtor's fault. The second requires that damage must be foreseeable. The third relies on the degree of causal connection between the default and the harm. The fourth technique is to give the court a discretion to limit damages. The fifth is based on a number of distinct but related ideas which will be discussed under the heading of mitigation. The sixth is to be found in the requirement that damages must be ‘certain’. There are, seventhly, a number of specific limitations on damages which cannot easily be reduced to any common principle and which are, indeed, not easy to explain or defend.

Keywords: breach of contract; recoverability; damages; mitigation

Chapter.  35287 words. 

Subjects: Civil Law

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