English Law Basics · glossary
The question whether a loss sits too far from the breach to be paid for. A loss counts if it follows naturally from the breach, or if both sides could have had it in mind when they contracted. The festival contract passes neither limb. Case note, Hadley v Baxendale · Chapter 5 · see Damages
Explained in Chapter 5, Breach of Contract, Damages and Remoteness of Damage, of English Law Basics.
The case gives two tests, which lawyers call the two limbs. The whole idea has a name, remoteness. It asks whether a loss sits too far from the breach to be paid for.Read Chapter 5, Breach of Contract, Damages and Remoteness of Damage →
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