An Evaluation of Fairness for Breaches of Contract

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“A breach of contract is committed when a party without lawful excuse fails or refuses to perform what is due from him under the contract, or performs defectively or anticipates himself from performing.” The laws around breach of contract have often been criticized for their unfair results this may be because the law does not aim to punish the defendant to instead aim for restoration for the claimant. The inadequacy of compensation for breach of contract is a widely recognized problem. It seems that there are few cases where the claimant is able to claim their full damages generally they are given a nominal sum that seems almost irrelevant to the claim for damages it is only on rare occasions where the claimant is completely restored. It has been argued that unless the damages are adequately remedies the remedy is “ ...a hollow one stripped of all practical force and void of content.” There is much difficulty in determining how to award damages and this has often led to unfairness.When recovering damages for breach of contract, there are generally three types of interest that the courts consider in order to find the most just result for the claimant. These three interests are: Expectation interest, Restitution interest and reliance interest. Expectation interest is the most common of the three and is used even though it is often criticized for creating results that are not relative to the breach. This essay will reflect upon these three types of interest in order to prove that damages for breach of contract do not always create a fair result. This is because the law in this area is inconsistent, especially in relationship to restitution interest that appears to be more of an exception to a rule rather than a gateway to re... ... middle of paper ... ...on. Failure is failure and the claiments should be further supported so that they may receive their damages. The award of expectation damages should not always be the first point of call for damages and it mainly leads to the award of a nominal sum. Receiving amenity/ nominal damagers has been argued to be a non successful way of retrieving damages. It has been argued a plaintiff who only recovers nominal damages has “…in reality lost and in reality the defendant has established a complete defense” This is true nominal damages are rarely relevant to the issue at hand and appear to be a way of giving the claimant something without giving them what they want. Overall the award for damages for breach of contract do not bring out the most fair result, this is because of the difficulties within the law and mainly because the courts will not punish the wrong dooer.

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