English Law Basics · glossary
Money that puts the innocent side where it would have been had the contract been kept. Marrowby claims damages for repairs, lost profit and the counter. A loss counts only if it passes one of the two limbs in Hadley. Case note, Hadley v Baxendale · Chapter 5 · see Remoteness, Set-off
Explained in Chapter 5, Breach of Contract, Damages and Remoteness of Damage, of English Law Basics.
Duarte’s third question is this: what can Marrowby claim from us? When one side breaks a contract, the other can claim damages. This is money that puts it where it would have been if the contract had been kept. But a loss counts only if it arose naturally from the breach, or both sides could have had it in mind. Any other loss is too remote: too far from the breach to be paid for.Read Chapter 5, Breach of Contract, Damages and Remoteness of Damage →
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