What Makes Damages Foreseeable?Where two parties have made a contract which one of them later breaks, the foreseeable damages which the other party should receive due to the breach should be considered as reasonably:- Arising naturally from the breach; or
- In the contemplation of both parties as the probable result of contract breach.
What Rules Govern the Principle of Foreseeability?Courts have generally recognized three important rules in applying the principle of foreseeability:- The wronged party may recover those damages reasonably and naturally arising in the normal or usual course of things, sometimes referred to as general damages.
- Recovery is allowed for damages reasonably in the contemplation of both parties, at the time they made the contract, as the probable result of the breach itself. These less obvious kinds of damages are deemed to be contemplated if the promisor knows or should know there are special circumstances which will give rise to such damages.
- For something to be foreseeable, the breaching party needs to have enough knowledge about a particular situation for him to have contemplated those likely damages
Should I Contact an Attorney Regarding the Foreseeability of Contract Damages?If you are involved with a breach of contract matter, and there’s a dispute over the foresseability of the requested damages, you may find the advice of a business attorney extremely helpful. Due to the complex nature of contract law the assistance of an experienced business attorney can be extremely beneficial when establishing your case. |
 |
