click below
click below
Normal Size Small Size show me how
B Law Unit 2 Ch 14
Term | Definition |
---|---|
incidental damages | Damages that compensate for expenses directly incurred because of a breach of contract, such as those incurred to obtain performance from another source. |
consequential damages | Foreseeable damages that result from a party’s breach of contract but are caused by special circumstances beyond the contract itself. |
nominal damages | A small monetary award (often one dollar) granted to a plaintiff when no actual damage was suffered. |
mitigation of damages | The requirement that a plaintiff do whatever is reasonable to minimize the damages caused by the defendant. |
liquidated damages | An amount, stipulated in a contract, that the parties to the contract believe to be a reasonable estimation of the damages that will occur in the event of a breach. |
penalty | A contract clause that specifies a certain amount to be paid in the event of a default or breach of contract but is unenforceable because it is designed to punish the breaching party rather than to provide a reasonable estimate of damages. |
restitution | An equitable remedy under which a person is restored to his original position prior to loss or injury, or placed in the position he would have been in had the breach not occurred. |
specific performance | An equitable remedy in which a court orders the parties to perform as promised in the contract. Normally granted only when the legal remedy (monetary damages) is inadequate. |