Law Case Assignment Essay

669 Words Mar 18th, 2013 3 Pages
Critical Legal Thinking Case Assignment Three Kristine Turnage
Florida State College at Jacksonville

Business Law and Ethics
BUL 3130
February 22, 2013

Compensatory damages are intended to provide a plaintiff with the monetary amount necessary to replace what was lost and nothing more. To be awarded compensatory damages, Pat the plaintiff must prove that he has suffered a legally recognizable harm that is compensable by a certain amount of money that can be objectively determined. Following a breach of contract by the defendant Harry Homeowner, the most common approach taken is to award the sum which would restore the plaintiff Pat to the economic position that he expected from performance of the promise (known as
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Were Pat would paint Harry Homeowner’s house for $6,000.00. Harry breached the contract by refusing to let Pat paint the house. Pat was informed before any money was spent on materials. Pat was able to line up another job that nets a profit of $4,200, during the time he was to paint Harrys house.
Pat is able to claim remedies from Harry for breach of contract under the general formula for expectation damages this is Expectation Damages = Compensatory Damages + Consequential Damages + Incidental Damages – Avoidable Losses. (Bagley, C., & Savage, D., 2006) Compensatory Damages are the amount necessary to make up for the economic loss caused by the breach of contract. In Pats case he agreed to paint Harry’s house for $6000. Pat later was informed that his services were no longer needed. Pat was able to find work elsewhere, but the job only paid $4,200. Pats compensatory damages are the difference between the two expenditures, or $1800. In addition to damages that compensate for the breach itself, the plaintiff is entitled to consequential damages, compensation for losses that occur as a foreseeable result of the breach. “Two principles operate to limit consequential damages: (1) the damages must be reasonably foreseeable, (2) they must be reasonably certain.” (Bagley, C., & Savage, D., 2006) In Pats case as long as the second job lined up comes through and starts that week, there is no

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