A Brief Note On Damages And Punitive Damages

punitive or exemplary damages and liquidated damages– and/ or equitable remedies that involve something other than money, such as specific performance, rescission, and restitution.

2. Please discuss the purpose, elements and reasoning for each of the capacity to contract categories, Incapacity, Intoxication, Infancy or Minor, Fraud and Duress. 25 points
• Incapacity
Recalled that a contract has four elements, those are offer and acceptance, considerations, legal capacity and legal purpose. In the contract, each party should have freely willing into a binding agreement, asses the contract terms in their best interests, understand performances required from them and able to perform accordingly and the consequences of underperforming. Therefore, legal capability becomes one of the essential elements of the contract.
Some categories of people have been regarded by the law as being incapable of preserving their own interests, including minors and people with impaired mental capacity. In practice, the contract law may work for the benefit of people with impaired decision-making ability.
A party without a mental capacity to contract, but not adjudicated insane could avoid the contract or defend the contract lawsuit because of breaching the contract, on the ground of lack of mental capacity. A party is declared to lack capacity to contract if he or she could not understand the rights under the contract, the purpose and the legal effect of the contract. Temporarily or permanently incapacitated people include minors, mental incompetents, intoxicated people and drug addicts.
The contracts create before a person is adjudged incompetent are voidable. However, in case the parties enter into the contract after ...

... middle of paper ...

...air dealing. Generally, this duty arises when one party knows a material of fact and the other party does not know about it.
 In order to correct a prior misrepresentation. o Justifiable reliance on the representation. A party must reasonably believe the truth of the statement and must act on it. No duty to investigate extraordinarily of the statement’s accuracy. o Injury caused by such reliance
The injured party should offer proof of resulting damage in order to prevail. The plaintiff may seek to recover damages using one of these two theories:
 “Benefit of the bargain theory” and look for the difference value between the actual market value of what the plaintiff received and the value if the plaintiff had received what was represented.
 “Out-of-pocket” theory and collect the difference between the actual value what was received and the price of the purchase.