Also known as:quantify damages · quantified damages · quantifying damages · damages quantification · assessment of damages · measure of damages
Written by attorneys · grounded in primary & secondary sources — see below
The process by which a court determines the monetary compensation due for a breach of contract or tortious injury. The assessment focuses on placing the injured party in the position performance or non-injury would have produced, subject to limits such as certainty, foreseeability, and mitigation.
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Cases
Uniform Acts
Restatements
Casebooks
How it applies
Common Examples
6
Reliance Expenditures After Breach
Quoc Quan paid architects and surveyors to prepare plans for a warehouse he contracted to build for Quartz Energy. When Quartz Energy repudiated before construction began, Quoc Quan recovered his out-of-pocket preparation costs because expectation damages could not be proven with reasonable certainty. The court subtracted any loss Quartz Energy proved Quoc Quan would have incurred even if the contract had been performed.
Tenant Losses From Landlord Default
Queenie Quinones leased retail space from Quantum Dynamics expecting to open a store. After Quantum Dynamics failed to deliver possession, Queenie recovered the fair market value of the lease on termination plus her reasonably foreseeable pre-default expenditures for fixtures and inventory. The court ensured no double recovery by netting the items against each other.
Wrongful Death Damage Measure
Quincy Quigley died after a defective product caused his fatal injuries. His surviving spouse Quinlan Quezada sued under the state wrongful death statute. The court applied the statute's wording and judicial interpretation to decide whether she could recover lost future earnings, medical expenses incurred before death, and loss of society.
Market Price Damages For Nondelivery
Quest Pharmaceuticals contracted to buy bulk chemicals from Quintessential Goods at a fixed price. Quintessential Goods repudiated when market prices rose. Quest Pharmaceuticals recovered the difference between the higher market price on the date it learned of the breach and the contract price, plus incidental costs, minus any expenses saved.
Adequacy Of Damages Versus Injunction
Quade Quincy operated a factory emitting pollutants that damaged neighboring property owned by Quentin Quinn. Quentin sought an injunction. The court weighed the nature of the harm, the difficulty of proving the exact amount of damages, the cost of repeated suits, and the collectibility of a judgment to decide whether monetary damages provided an adequate remedy.
Contractual Remedy Limitation
Quantum Dynamics sold equipment to Quartz Energy under a contract that limited remedies to repair or replacement of defective parts. When the equipment failed, Quartz Energy sought broader damages. The court enforced the contractual limit because the exclusive remedy did not fail of its essential purpose.
Common questions
Frequently Asked
5
When may a party recover reliance damages instead of expectation damages?+
A party may recover reliance damages as an alternative when expectation damages cannot be proven with reasonable certainty. The recovery includes expenditures made in preparation or performance, reduced by any loss the breaching party proves the injured party would have suffered even if the contract had been performed.
How does the UCC measure damages for a seller's nondelivery of goods?+
The buyer recovers the difference between the market price at the time the buyer learned of the breach and the contract price, together with incidental and consequential damages, less expenses saved because of the breach.
What determines the measure of damages in a wrongful death action?
+
The measure depends on the wording of the statute creating the right of action and the courts' interpretation of that statute.
May parties contractually limit the measure of damages available for breach?+
Yes. An agreement may provide for remedies in addition to or in substitution for those otherwise available and may limit damages to return of the goods, repayment of the price, or repair and replacement of nonconforming goods.
What factors determine whether damages are an adequate remedy compared with an injunction?+
The court considers the nature of the interests harmed, the effects of damage-measurement rules, the availability of evidence, the cost of assessing damages, the cost of multiple suits, the collectibility of a judgment, and other pertinent factors.
is afforded." 1 D. Graham, Law of New Trials in Cases Civil and Criminal 452 (2d ed. 1855); Washington,
Damages
in Contract at Common Law, 47 L. Q. Rev. 345, 363-364 (1931). Here, New York…
therefor. All such provisions or limitations contained in any such rule, regulation, contract, or agreement are hereby declared to be against public policy and shall be null and void and of…
to indicate that state power was exerted to compensate for anything more than the direct consequences of the violent conduct. Id. , at 248, n. 6. In Russell , we specifically observed…
for many nonfatal personal injuries. See Hollyday v. The David Reeves , 12 F. Cas. 386, 388 (No. 6,625) (D. C. Md. 1879); Green v. Hudson River R. Co. , 28 Barb. 9, 17-18 (N. Y.…
ContractsRemedies · Expectation interest (including direct, incidental, and consequential damages)UBEIntermediate