Q&As

Does the measure of damages in breach of contract include recovering loss to replace damaged items when repair to the damaged items renders the repaired items different to the original items?

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Published on LexisPSL on 18/03/2019

The following Commercial Q&A provides comprehensive and up to date legal information covering:

  • Does the measure of damages in breach of contract include recovering loss to replace damaged items when repair to the damaged items renders the repaired items different to the original items?

Damages for breach of contract are compensatory and the aim is to place the claimant in the same position, so far as money can do it, as if the contract had been performed. Contract law damages are further not a matter of discretion. They are claimed as of right, and are awarded or refused on the basis of legal principle.

For further guidance on damages for contractual breach, see Practice Notes:

  1. Contractual damages—general principles

  2. Contractual damages—pecuniary losses

  3. Contractual damages—non-pecuniary losses

In relation to financial loss (pecuniary loss), there are three different categories of contractual damages that may be available:

  1. expectation-based damages (also known as ‘loss of bargain’ damages)

  2. reliance-based

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